Home selling has been hot at Orange County for the first eight months this year.
But the market is now cooling, and seller strategy to “stretch the price” in anticipation of getting more than the last sale has ended.
Home selling markets were hot earlier this year at the OC – with expected market time (amount of time it would take to place a home into escrow relative to then current market conditions) dropped to below two months. Time to sell detached homes below $500,000 dropped to less than a month.
That very low expected market time allowed sellers to adopt high pricing strategy.
Such seller “anticipation pricing” was when sellers looked at most recent sales and speculated how much more they could get. Such stretching of price at closing allowed some sellers to take advantage during that hot market.
“Anticipation pricing by sellers resulted from “economic dynamics” of real estate – when supply drops and demand skyrockets, market forces prevail and prices go up.
Orange County is still a home selling market that favors sellers, but expected time to sell has cooled down to about three months.
Buyers are more cautious these days and don’t want to pay more than “Fair Market Value” for a home.
Smarts sellers won’t overprice their homes during the last 4 months of this year 2015 and will look to “fair market values”. Overpriced homes won’t sell and will stay on the market for months if they sell at all.
The Orange County housing market has climbed back to a healthy place after the recession, and values are up with homeowners sitting on more equity.
“Successful Orange County Home Sellers Will Focus on Pricing according to Fair Market Values during last 4 months of 2015.”
By Harrison K. Long. Source of some information is ReportsOnHousing.com. We provide the best professional REALTOR® and broker representation with focus on customer service experience for property owners, buyers and investors. Contact us to find out more about Orange County homes and real estate buying and selling.