When a buyer begins their home search, they need to first determine how much they are qualified for and what price range makes them most comfortable with their monthly payment. When that’s done, the search is narrowed based on location, condition and amenities.
While the old real estate mantra is location, location, location — the primary driver in most home purchases is price, price price.
2009 home sales in northwest Oklahoma City and Edmond, broken down by price range:
When you review these 2009 sales, it’s interesting because although we see a slight decrease (3%) in sales, but there’s a dramatic shift in price into the lower price ranges. There’s a significant increase in the number of sales from $100,000 to $200,000, while there’s a dramatic decrease in sales from $250,000 and higher. I think a lot of the shift is due to the first-time homebuyer credits offered in 2009 and now extended into 2010. Most first-time buyers buy at or below the average sale price. In northwest Oklahoma City and Edmond, the average sale price in 2009 was $199,185 and homes from $100,000 to $250,000 made up about 60% of the annual sales.
If you’re selling your home, the issue is inventory. If you’re considering selling your northwest Oklahoma City or Edmond home in 2010, you can face some stiff competition depending upon where your home is located and what condition it is in.
If your home is priced over $500,000, the numbers are disheartening. Over $500,000, the number of homes currently on the market exceed the total number of homes sold in 2009 in that price range.
What’s a home seller to do?
Be realistic. Seeing your up against a lot of competition means you must be priced competitively from day one! Your home needs to be immaculate. Make the necessary repairs, stage it properly and make it stand out from the crowd ‘looks-wise’ and ‘price-wise’. If you’d like to know the competitive price for your home, let us help.