How to AVOID overpricing your home for sale

Is it possible to be Overpriced in our ultra-HOT Tacoma market…? Here’s what the numbers say

 

With home prices hitting all-time highs all over Tacoma and surround areas including Stadium district, North Tacoma, Westgate, University Place, Fircrest, Proctor….. you get the idea.

 

Each new listing selling faster and for more money the question is… is it possible to OVERPRICE your home for sale?

 

I took a sample of 108 homes in the Proctor District of Tacoma over the past 180 days to find the answer.

 

Here’s what the numbers say.

 

As of 6/14/17

Of the 108 total homes –

13 Active CDOM 18 days

19 Pending CDOM 19 days

66 Sold CDOM 30 days

6 Cancelled CDOM 44 days

4 Expired CDOM 116 days

 

Looking at just the 66 sold homes to evaluate and compare potentially overpriced homes.

 

17 of the 66 sold for less than list price of which 8 did at least 1 price reduction.  The average current days on Market for the 17 was 55 days and the average selling price was below original list price by 12.3%.

 

Now compare those numbers to the 49 sold homes that sold at or above original list price with CDOM of 21 and sold for an average of 2.5% above list price.  Many sold at list price with some fetching as much as 15% above asking (this was the exception – not the rule)

 

Bottom-line – Buyers in this market are very educated, they know value and will act quickly if the home is priced right.   As a seller know your neighborhood and what has sold, be realistic and price your home in line with what the market is going to expect.  If not, you risk –  TWICE as long selling time (55 compared to 21) and perhaps a 10 -12.5% reduction off your list price.

 

If you need help pricing your home give me a call I’d love to have a conversation about the market.

 

Joe

206 228 1372