I wroteÂ most of this blog post before I realized that MarcusÂ just wrote a post about making sure that the price is right. I apologize for bringing the topic back up so soon,Â but proper pricing is crucial right now.
The real estate market is pretty sick at the moment:Â Buyers are scared and apprehensive to jump into the pool. They don’t want to buy something today and have it be worth less 12 months from now. Who can blame them? Most of them are waiting forÂ bottom.Â Many sellers are still unrealistic about where theÂ market is right now. The realistic ones price their property correctly and are seeing someÂ action. Foreclosures are on the rise and will continue toÂ rise asÂ the weaker investors finally throw in the towel;Â Real estate agents are starting to find other professions.
With prices dropping every month this is either a great time to sell or a horrible time to sell. It just depends on your situation. If you can weather the storm and wait for better times perhaps this is not the right time to put your property on the market. Depending on your market, prices may continue to fall even more. In that case, wouldn’t this be a great time to sell?
If you are thinking of selling remember that proper pricing is absolutely crucial. If you aren’t planning on pricing your property aggressively, thenÂ don’t waste your time. If you have a extremely unique property that is a different story. But most are not.
I sell Sarasota real estate and work with buyers regularly. They see an opportunity right now because of the soft market, but they will not overpay. So forget about finding that one sucker that has not done his homework and will pay you 10%-20% over what your property is worth.
To find the right price do a thorough analysis of your neighborhood or condo building. What has recently sold? Take your emotions out of the equation and honestly compare your home or condo to what hasÂ sold within the last 3 months. Like Sarasota, I assumeÂ Orlando real estate prices have dropped and may continue to be dropping. If so, price your property accordingly. If you are fortunate to have 3 sales within the last 3 months price your property in that range or just below it. Just like in 2005 when prices were rising we would take the last 3 sales and price our listings above thatÂ range. This worked because the market was moving up. Now, the opposite is true.
Assuming you establish a realistic asking price, a goodÂ real estate agent (more important than everÂ these days) and a fabulous marketing program you will get more action on your home with a good chance of selling it.