The ‘choice market’ arrives as sellers face growing price pressure

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Price cuts are becoming increasingly common across the U.S. housing market as inventory builds and homes take longer to sell. About 42% of listings have seen their prices reduced, according to latest HousingWire Data, above the roughly 30% to 35% range considered normal. Inventory has increased by about 25,000 units since early August, while median days on market have climbed from 63 to 70 days. The median home price has also slipped from $449,000 on Aug. 7 to $439,900 — a decline of about $9,000 in six weeks. Nimesh Patel, broker-owner of REMAX Fine Properties in Sugar Land, Texas, has brokerages in both Houston and Austin, giving him a view of two of the markets where buyers have gained more choice. “The amount of inventory is there — a lot of inventory, and buyers are having their choice,” he told HousingWire. “But I think the terminology I’m trying to convey to my agents and clients is that it’s not a buyer’s market per se where you can do whatever you want, however you want. He said buyers can still overreach when making offers, but the larger selection of homes has changed the negotiating environment. “We do see people coming in at 20% or 30% below list price and try to put i...

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