January 2018 sales numbers for Lee County were recently released and for the first time in a while median home prices dropped. Granted, the drop was only -.2%, however it underscores a larger picture.
If you look at the home price graph for Lee County you’ll notice most of our price gains occurred in 2016. Since December of 2016, home prices are down. We had a few months better than others in 2017. If you look at where we started 2017 at a median price of $245,000 and where we start 2018 with a media price of $244,500 you can see we lost about $500. That’s nothing to worry about one way or the other.
The takeaway from all of this is that you can’t price ahead of the market if the market isn’t moving. In a hot seller’s market, sellers could over-price today’s market and soon enough the market would catch the new price. It might take a few months, but when it does, you have a sale.
In a declining market, you want to price ahead of the market as well. You never want to get caught chasing the market down. You price lower than the market and get out, because if you price at market and don’t sell the 1st week, you’ve missed it already.
In a horizontal market like we have now, it’s important to find the market, price it right there, and market the heck out of the property. Only then will you know if you’ve properly priced it. If the market doesn’t respond, it’s not the marketing.
People say price sells cars, and price sells homes. This is true, however we’ve seen instances where a home was priced correctly and just doesn’t sell. Adding aggressive marketing can make the sale. The absence of marketing increases the chances a home will sell below market. This is one reason For Sale By Owners sell for so much less than listed properties. They don’t have the audience a typical Realtor has, and certainly not the audience of an aggressive Realtor that markets.
Because For Sale By Owners sell for so much less, they don’t save the commission. It costs them to sell on their own.
When you’re interviewing Realtors, it’s important to note that all Realtors are not the same. Not all Realtors advertise in newspaper, yellow pages, Facebook, Google, Bing, Yahoo, online newspapers all over the world, Instagram, Google+, Zillow, Trulia, realtor.com, Homes.com, Instagram, and the list goes on.
Maximum exposure equates to a higher sales price. Imagine you had an estate auction and 10 people showed up to bid. You’d sell some stuff. Now imagine you held the same auction, and 10,000 people showed up to bid. You’d sell all or most of your stuff, and the prices would be higher on much of it. Why? Because you attracted more people to bid. Full market exposure equals maximum market price. Anything less than that does not.
And while the saying price sells homes is true, it’s only partially true. Anybody can give a property away. Only a few can sell it in record time at full market value. It pays to know what the market is doing so you know how to price it, and it pays to select the Best Realtor you can find to market it for all your home is worth.
Buyers are doing their homework. We don’t have a declining market. We have a very stable market, and that’s always a fun time to buy and sell, if you do your homework.
If you’re buying or selling, call the Ellis Team. We have the latest stats as we study the market. We also have the marketing beef, so if you need your home sold fast and for top dollar, Brett and Sande are the ones to call. 239-489-4042 Ext 4. Or visit www.LeeCountyOnline.com to find your home in paradise, or find your home’s value.
Ellis Team Weekend Open Houses
Open Saturday 1-4 PM Island Park Village
17655 Village Inlet Ct $120,000
Open Sunday 1-4 PM Paseo
Esperanza Neighborhood Paseo Gated Community
Open House Sunday 1-3 PM
16150 Bay Pointe Blvd Unit B208 $175,000