More Ultra Luxury Sellers Face Stale Listings

Dated: 04/19/2017

Views: 101

Image title

Daily Real Estate News | Friday, April 14, 2017

In the high-end market, more properties are lingering. Some sellers are having to reduce their prices in the ultra-luxury market, in the hopes of getting a quicker sale. Otherwise, those hoping to hold out for a higher price are finding they’re waiting not months but years to make a sale.

For some, the waiting game is fine, though.

“In most cases, my sellers don’t have to sell,” says Ann MacQuoid, a real estate professional with Berkshire Hathaway HomeServices. One of her clients in Park City, Utah, has a home listed for $10.9 million that has lingered on the market for a year and a half.

The pricier the home, the longer it usually takes to sell, according to data from realtor.com®. Homes in the highest bracket spent a median of 134 days on the market compared to 100 days for luxury homes overall. Meanwhile, the typical home spent only 53 days on the market. Realtor.com®’s research team examined the priciest 10 percent of 44,000 listings in the 20 largest U.S. metro areas in February.

About 9.5 percent of luxury homes spent more than a year on the market, according to realtor.com®’s research.

But real estate professionals warn that letting a listing go stale is rarely a good idea in the end. A buyer may start to believe something is wrong with the home and lowball the seller. Indeed, homes that spent an average of 774 days on the market to sell received 77 percent of the original list price, according to a report from Concierge Auctions, which analyzed the 10 most expensive sales in 27 high-end markets. On the other hand, homes that were on the market for less than 180 days sold for 93 percent of the initial list price.

John Walton and Stacy Demcher of Keller Williams Jersey Shore say they specialize in "expired listings" that have not sold. Walton says he will typically come in and adjust the price, take new photographs, and rewrite the copy to re-energize a listing and speed a sale. Some real estate pros also recommend taking the home off the market for a short period to try to reset the days-on-market number.

Latest Blog Posts

Homeowners Reveal Their Top Nonnegotiable Amenities

September 24, 2018Home shoppers are unwilling to negotiate on certain amenities, and prime among them are central air conditioning and a private patio or backyard, according to a new survey of more

Read More

Rising Mortgage Costs Remain Below 2006-07 Peak

September 24, 2018With home prices mostly holding to an upward trend, more owners are facing rising mortgage costs. But even so, homeowners are still paying less in mortgage payments than they did

Read More

5 Signs You’re Ready to Buy a Vacation Home

By the Experts at HippoYou've just returned from a trip to the beach. You ask yourself: Why should I continue to pay rental fees when I could own a vacation home and rent it out? Unless you're

Read More

Real Estate Community Focuses on Disaster Preparedness

September 6, 2018Natural disasters such as floods, fires, hurricanes, and mudslides pose threats to more communities than ever before, and the real estate community is keeping an eye on how this

Read More