In May, prices of single-family homes nationwide dropped 6.8%.
In short, the Journal's real estate expert, David Crook, advised not to wait if you want to sell, price your home "cheaply," consider providing some financing for a qualified purchaser (if the house is paid off), and accept a buyer's offer unless it is ridiculous.
What's ridiculous? Well, like beauty, that is in the eye of the beholder, but the latest national and regional housing data help with a definition. A sidebar to the Journal article indicates that, in May, prices of single-family homes nationwide dropped 6.8%; in the southeastern U.S., prices dropped 4.6%. If you have plans to move from a rapidly depreciating market to a slower depreciating market like many in the southeast, that 2% spread, played out over a number of months, could argue for accepting an offer of 15% less than you had expected. And if a condo is in your future, note that May condo prices in the southeast actually increased, albeit fractionally. For folks in the Western region, the spreads are greater; prices for all types of houses in the West dropped by double digits in May.
These are all generalized data, and the numbers by market or, even better, by zip code, are much more reliable. But as a guidepost to when (and how) to sell the home you want to sell, the Journal article is helpful.
Click here for the link to the article online. If it is no longer available, let me know (use the "Contact Us" button above), and I will email it to you.
