Between record low inventory and high buyer demand, today’s real estate market is one of the most seller-friendly in recent history.
And that seller-friendly market is driving some serious expectations among homeowners.
A recent survey from realtor.com, which surveyed homeowners planning on selling their home in the next 12 months, found that:
- Sellers expect to get more for their home than they paid for it… With home prices rising at such a dramatic rate, just about every home seller in today’s market expects to make a profit. A whopping 94 percent of homeowners surveyed said they expected to get more than what they originally paid for their home.
- …and in some cases, much more. While most sellers expect to turn a profit, some expect to turn a major profit—with one in 10 sellers expecting to get double what they paid for their home.
- Sellers expect a fast, easy sale. Sellers also expect their home to sell quickly, with 25 percent of sellers expecting an offer within a week of listing. And not only do sellers expect it to sell quickly, but they also expect it to sell with little effort on their part; 24 percent don’t expect to have to pay for any repairs or improvements—and 16 percent expect buyers to waive home inspection, appraisal, and/or financing contingencies.
So, what does this mean for you?
If you’re planning on buying a home in today’s market, it’s important to know what sellers are thinking; that way, you can position your offer in a way that plays to seller’s expectations—and increase the likelihood of your offer being accepted.
If you’re a seller, while having high expectations in this market is common (and even reasonable), it’s important to know that your expectations need to be based in reality. Just because the market is hot doesn’t necessarily mean your house will sell overnight, or for as much as you hope. Capitalizing on a market like this still requires being thoughtful about your asking price. Pricing too high in any market won’t produce the hoped for results.