One of the statistics I track it what the sales price is in comparison to the original list price. This is different than sales price in comparison to final list price.
What one will note in Rogue Valley Real Estate is that the statistics for sales price to the last listed price has stayed pretty steady at around 96-98% of the sales price. That is more a psychological factor of the local market. It takes the seller coming to the conclusion to drop the listing price first, not them to look at low offers.
An example is that a house is listed for $300,000. They get an offer for $255,000 and they turn it down cause it is just too low (85% of list price). Months pass by, and they drop the house to $280,000 and then more months pass and they drop the price to $260,000. Now they get an offer for $255,000 and take it. The sales price to list price is 98%, but the sales price to original list price is 85%.
So there has been an uptick in this figure from it’s low in January of 86.5%, to May’s figure of 92%. What does this mean to me? Well, one theory I have is that seller’s are becoming more aware of the state of the market and are pricing to the market closer from the start. The days of looking at the comps, and adding 5%, so when the offer came in a little low you still made what the neighbors did, or more, are so 2006. Now, original pricing needs to be at where the comps are…not higher. And
I believe more seller’s and Realtors are getting that.
If you know someone who might need an honest appraisal of value of their property in Ashland or in the Medford area, I can provide an accurate price range, without over-inflating the price to try to make someone happy.
Oh, wait….I bet you all thought my job was to make you happy, right? I guess that is my bad..I think my job is to tell the truth. I leave the happiness up to you. 🙂 When those two coincide, that ‘s the best. That’s when my job is easy.