While thing's have slowed quite a bit compared to years past, homes are still selling if their priced right. I've cleared my entire SFR inventory this year and just picked up 2 more listings that will go into Mls on Monday. If your home is not selling it's over priced. The laws of supply and demand. Demand has faded creating a buyers market. If anyone was waiting to sell at the top, you missed it last year.
My company report:
For sellers, it is time for a gut check: price accordingly for a Fall and Holiday market, or DO NOT SELL. We are about to enter the Fall market, where demand for homes diminishes and more and more sellers pull their homes off of the market. At 16,006 homes, the Orange County inventory has nearly finished its gigantic 2006 growth spurt. There are 8,763 additional homes on the market today compared to January 1st of this year. In the past 2 weeks, the inventory grew by only 131 homes. But, it is surprising that homes are still coming on the market at a faster pace than they are coming off. The number of homes placed into escrow has risen from the incredibly slow July numbers. There were 2,357 homes placed into escrow within the prior 30 days; thats 225 additional homes compared to July 13th. As the inventory has slowed its climb and more homes are placed into escrow, market time has dropped slightly from 7.2 months on July 13th to 6.79 months today. Over the past two weeks, market time only dropped from 6.81 months to 6.79 months. As more sellers recall that, cyclically, the Fall and Holiday market are not the best times to sell, the number of homes that are pulled off the market will reach numbers not seen in quite some time. All ranges above $750,000 are within the definition of a buyers market. All ranges above $1.5 million are above the 10 month mark. There is virtually NO difference in market time between attached homes (6.79 months for condominiums and townhomes) and detached homes (6.78 months). BUT, the market time for attached homes within the $500,000 to $750,000 range is 7.91 months. Above $750,000, the market time for attached homes is 11.3 months. Todays market is not for the light hearted. For the best approach and strategy to capitalize on the market, buyers and sellers must turn to the expertise of their real estate agent. How should a seller approach the market? It is quite simple; a homeowner should not place their home on the market unless they are motivated to sell. Sellers that are currently on the market and do not have legitimate reasons to sell and are not motivated should pull their homes off the market IMMEDIATELY and enjoy the seasons, relaxing in their Southern California homes. After four to six months on the market, many sellers understand the big picture; it does not matter what price a seller would like to get for their home, they are only going to achieve a realistic market value. How should a Buyer approach the market? Great news, rates have fallen in recent weeks as the Federal Reserve paused its string of rate hikes. It is unclear whether Bernanke, the new Federal Reserve Board Chairman, and the rest of the board are going to raise rates again or continue to hold. If rates are increased, affordability drops. After eight years, its the buyers turn. There are so many homes to choose from and sellers are more realistic today than they were just a few months ago.