Harrisonburg Homes - True List to Sell Ratios | HarrisonburgHousingToday.com :: Market Updates, Analysis and Commentary on Harrisonburg and Rockingham County Real Estate


Harrisonburg Homes - True List to Sell Ratios
By Scott Rogers • December 31, 2007
A statistic that can be very helpful in understanding the state of the real estate market is the ratio between the list price and sale price of a home. For example, 216 single family homes sold thus far in 2007 (1/1/2007 - 12/30/2007), with an average list to sell ratio of 97.81%. This means that Sellers are getting, on average, 97.81% of their asking price - - - or are they?? When I (or any other Realtor) runs these calculations in the MLS, the statistical analysis compares the sale price to the final list price, not the original list price. Unfortunately, comparing the sale price to the original list price is a manual process. But let's see what it would show us . . . Because of the tedious nature of this research, I have limited this to Harrisonburg single family homes that sold in the 4th quarter (9/1/2007 - 12/30/2007). There were 39 homes, that sold at 97.24% of the final list price. When looking at the sale price compared to the original list price, the ratio drops to . . . . . . . . . . 94.20%. Interestingly, of the 39 homes, 8 of them sold for less than 90% of the original list price. Let's put a few of these numbers in perspective, with the lowest ratios in the set . . . 977 Summit Avenue Original List Price = $498,000 Final List Price = $424,900 Sale Price = $375,000 (75% of original list price) 740 Collicello Street Original List Price = $150,000 Final List Price = $145,000 Sale Price = $125,000 (83% of original list price) 60 Shenandoah Avenue Original List Price = $182,500 Final List Price = $169,900 Sale Price = $156,000 (85% of original list price) A few interesting take away points: On average, buyers seem to be willing to negotiate prices down 3% (to 97% of the asking price), but not 6%. Thus, as a seller, it is important to stay within 3% of the market value, or your "bottom line". A seller can't pick any asking price out of the air and assume that their home will sell for 97% of that price (or even 94% of the price). When preparing to sell your home, don't just look at sale prices and final list prices of comparable homes -- check the original list prices as well! Receive Updates by Email Recent Articles: There Are Plenty Of Types Of Houses That Exist That Just Are Not Available To Purchase Home Sales By Price Range In The City Of Harrisonburg Are You Compromising On Aspects Of Your Next Home That You Can Or Cannot Change Later? How Much Slower Are The Winter Months In Our Local Housing Market? Rockingham County and New Home Sales Drive Surge in Area Housing Market Find The Balance Between Optimistic And Realistic Home Pricing Room Size Is Difficult To Understand Solely From Real Estate Photos How Much Would You Value Not Having To Prepare Your Home For Showings? One Out Of Four Homes Is Taking Longer Than A Month To Sell Consider The Cost Of Your Planned Renovations When Planning Your Offer
Have any questions? Contact Scott Rogers at 540-578-0102 or scott@funkhousergroup.com
Based on information from the Harrisonburg-Rockingham Association of REALTORS® or its MLS, for the period Jan 1, 2000 through Nov 22, 2024 (unless otherwise noted).
Comments (5) or Subscribe