As the housing market slows for the winter season and perhaps for the coming year, home sellers should be prepared for a shift to a more challenging sales environment.
Of course, home prices, the availability of homes and mortgage rates influence buyer and seller activity. But John Murdock, CEO of CityScape Metro Group with Keller Williams Realty, says employment, the stock market, interest rates, elections, holidays and even the weather are other variables that affect the real estate market.
If you’re listing your home for sale, Murdock suggests following nine statistics on a weekly basis to determine whether your home is priced appropriately and whether you need to make adjustments to your marketing plans with your real estate agent.
The local numbers to watch include:
1. Average days on market: This indicates how quickly homes are selling.
2. New listings: It’s important to see new competition and compare prices.
3. Total listings: This shows you all the available homes from which buyers can choose.
4. Pending sales: While you can’t see the sales price on a pending sale, you can see what’s off the market and how long it took to go under contract.
5. Closed sales: Once a sale has closed, you can find out the final price.
6. Expired, withdrawn or canceled listings: Study these to evaluate why these listings didn’t sell.
7. Price reductions: If sellers of homes in your neighborhood or similar properties to yours are dropping their prices, it may be time to reevaluate your offering.
8. Relisted properties: Homes that have been taken off the market may have been renovated, listed at a new price or simply refreshed as a new listing.
9. Mortgage rates: If mortgage rates rise, this could affect affordability for buyers and may mean you need to lower your price to compensate.