The median of Sales Prices as a percentage of Original List Prices has continued lower, and is at historically low levels.
This decline began in 4Q 2007, and is a fairly clear reflection of the many problems inside the “gap” between buyers and sellers in the Intown Atlanta and Decatur residential real estate market. The day to day stultification can perhaps best be summarized in the “not in my neighborhood, not on my street” effect that Zillow described in a few articles last year.
Yeah, and as the Mother of All Intown Atlanta Real Estate Charts reveals, 70 out of 100 Intown Atlanta and Decatur sellers FAIL TO SELL!
The slower market environment forces Sellers to negotiate away a growing portion of original listing prices, and that negotiation leads to more than just financial pain, blues, misery and woe. Time, and the quality and value of time, is crushed.
The fact that a property is not priced to be “in” the market, but merely “on” the market is pervasive…did you see that part about the 70 out of 100?
I’ll wrap this up with a statement from noted Atlanta Trulia Voice, Associate Broker with Prudential Georgia Realty and a mega-experienced appraiser, Cobb County’s finest, Hank Miller.
Hank and I think alike and when we see the numbers and when we bear witness to the pain, blues, misery and woe, we know that the signs are pointing the way for Buyers to buy, and to do it fairly soon.
He stated this in his Trulia post on March 20: “It’s Now Officially OK to Buy – If You Do It Correctly.”
“Now is the time to seriously consider getting into the buy pool. If you do it, do it with the right intentions” – here are Hank’s tried and true tenets:
1. Don’t expect to make a killing, a home should be part of an investment portfolio
2. Buy a home, make it a home and understand the non-monetary benefits of ownership
3. Don’t buy more than you can afford
4. Don’t buy if you’re not financially set
5. Don’t try to time the market – no one can, including you. Know what constitutes success for you, execute when you find it. Buy your home, enjoy it and don’t look back. How many gamblers leave Vegas broke after being up big? How many buyers and owners putz around and lose great opportunities? Review point 2 – you’re buying a home to live in.”
Thanks Hank – you rock.
Intown Atlanta Sellers – it’s time to shrink the gap.
Know your numbers and when a Buyer arrives for a showing, ready to buy something, make it your house, by pricing it right the first time!