Much like we experienced during the pandemic, the residential real estate market is going through a moment when many are unsure of what to expect. Unfortunately, it has led to some misunderstandings. We wanted to set the record straight.
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Myth: Home prices are about to plummet
Reality: Normalcy is returning
Tucker Blalock is the co-founder and managing broker of The Brokery.
The homebuying frenzy of the past few years has not been normal, nor has it been a rational market. With soaring housing prices and ultra-low interest rates, it’s like a zoo! Now, the number of homes for sale has tripled since his March, and interest rates have hovered in his 5% range. This doesn’t mean prices will plummet, but it does mean that sellers should actually compete in the market to get the best prices.
Myth: Buyers still line up for high-priced homes
Reality: Homes Must Be Priced at Market Value to Sell
The asking price was 10-15% too high all summer, and as you’ve probably heard in the media, there have been many price cuts. This does not mean that the actual “real” value is declining, it just means that sellers have become too greedy with their demands and have had to return to market value.
Myth: Homes can be listed and sold without a lot of prep work
Reality: Owners Must Stage Homes for Sale
Gone are the days of listing a home as-is, without any real staging or preparation. In today’s market, not only do homes need to be priced right to sell, but owners also need to put in the time and effort to make a great first impression with curb appeal, staging, paint, and more. Going forward, we believe the market will reward turnkey homes, especially homes in premium locations.
author: Tucker Blalock Co-Founder and Managing Broker of The Brokery. Tucker specializes in the Biltmore, Arcadia, Paradise Valley and Scottsdale areas.