News that Lee County housing inventory supply rises heading into 2019 season won’t surprise many Realtors, but it may shock some sellers. Reading headlines in 2018 would leave many sellers to believe the Lee County housing market is up and doing well.
Lee County Housing Inventory Supply Rises Heading Into 2019 Season
Let’s dive in and look at some numbers. Inventory is up in every single price category since October. We saw a 17.24% rise in listing inventory and only a .77% rise in sold homes since October numbers were released. Since these are 365 days numbers, the buildup in inventory has essentially occurred since October. We have 883 more homes on the market now than we did 2 months ago. The market has not absorbed the extra inventory, which has put pressure on home prices.
Prices have been stagnant for 2 years. In fact, home prices in October were less than January 2017 numbers. Official November numbers won’t be released until after this article was written, however we fail to see how rising inventory will help home prices rise when they weren’t rising with low inventory numbers.
In the last 6 months we’ve met with many potential sellers. They just didn’t like the numbers they were seeing and wanted to wait until season when they thought they could fetch a higher price. Some even listed with other Realtors who listed at a higher price, and they’re still on the market. We always tell sellers, if you list with another Realtor for a higher price and it doesn’t sell, give us a call when it expires, and we’ll be glad to look at it again. The issue is for some sellers, their price has gone down. By listing it too high in a stagnant or declining market only adds to the pain later on. It’s much better to price it correctly the first time.
Going Forward
Sellers looking to sell in 2019 need to do a better job in 3 areas:
Interviewing Agents. Ask pointed questions. It’s OK. How many homes did you sell in 2018? What is your company market share? How much commission will you pay out to other brokers in MLS to also show my home? If the agent cuts their commission upfront, it not only tells you how well they’ll negotiate your sales price, it also tells you how motivated other agents will be to show your home. How long have you been selling real estate? What’s your experience in a shifting market?
Select the best marketing plan. Will your home be marketed in print and online? We’re not talking about putting it on Zillow and Realtor.com. Everybody does that. How will your home be targeted to specific buyers throughout the US and Internationally? Ask them to show you. It will become apparent quickly if they know how to do this, and if they do it. If you’re unsure, ask Brett or Sande to come in and show you. There’s a reason why our listings sell when others don’t. 2019 will not be the market to select an agent that doesn’t understand how to go find the buyer online.
Correctly Price. It won’t matter how much your agent spends on advertising if it’s overpriced. Advertising exposes your home to the market. We think we expose your home to more and better buyers than anybody else. That’s a moot point however if your home is overpriced. Working with an experienced agent is critical in selecting the best price for your home. You may not like what the market is telling you but ask yourself this question. If I don’t like what the market is saying today, how will I feel in 6 months or a year when it failed to sell and you’re competing with more inventory then?
Reality Sets In
Sometimes reality today is worth more than reality down the road. It’s all when you choose to see it. It’s right there in front of us. The Ellis Team has a plan to get your home sold quickly, and for Top Dollar!
Give us Sande or Brett a call 239-489-4042 Ext 4, or feel free to search at www.LeeCountyOnline.com
Happy Holidays!