Dennis Norman
According to a report issued today by ZipRealty,more than 44 percent of home listings in 28 major markets tracked by ZipRealty in September had at least one price reduction. Of those homes on the market with reduced prices the average have had their price cut an average of twice,according to the report.
If you visit this blog on a regular basis you may be saying to yourself “hey I thought I saw something about 25 percent of the listings being overpriced”. Well if so you are correct,last week I did a post about Trulias report showing 25.6 percent of the listings on their system had a price reduction. Ah,the wonder and beauty of statistics! I am a frequent critic of many statistical reports and often question methodology and now you see why. In this case there are reasons for the discrepancy between the two reports: Trulia’s report just looked at the period between June 1,2009 and October 2009 and analysed how many homes during that period had price reductions. ZipRealty instead looked at ALL the homes currently listed as of October 1,2009 no matter how long they have been on the market. Therefore,listings that had a price reduction prior to June would be counted in the ZipRealty report and not Trulia. Also,as I pointed out in my post on the Trulia report,Trulia does not have ALL the homes for sale in their system nor does ZipRealty. While there is a difference in their percentages,Trulia at 25.6 percent and ZipRealty at 44 percent,the message is still the same:there are a lot of over priced listings out there or prices are continuing to fall in many markets.
Other highlights of the ZipRealty report include:
- Home owners slashed listing prices by an average of $25,362 in September,similar to the average reduction of $25,155 in August
- Las Vegas homeowners reduced list prices by the largest percentage at 20 percent,while homeowners in Raleigh-Durham reduced prices by the smallest percentage at 4.6 percent.
- Of the markets studied,those with the highest percentage of price-reduced homes are Orlando (50.4 percent),Jacksonville (50.2 percent) and Chicago (49.7 percent)
- Markets with the lowest percentage of price-reduced homes are Denver (30.3 percent),Los Angeles (34.7 percent),San Francisco (37.1 percent) and Sacramento (37.2 percent).
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Sisena
Thank you for the nice comment..I try pass on information that I think a typical home owner,buyer or seller may be interested in or find helpful…
Take care,Dennis
Great post. I really appreciate you for giving us the latest updates and for making buyers aware the prices. This will really help take right decision.
Thanks for the information.