5 Factors That Determine How Long a Home Sits on the Market
People move for a plethora of reasons including an upgrade in lifestyle, downsizing, relocating to another area, not being able to keep up with house payments, political climate and more. Although homeowners may love their homes, when it comes time to sell, they want to find good buyers who will pay top dollar in a reasonable amount of time.
The average time to sell a home varies depending on the market and a variety of other factors. Let’s take a look at a few of them.
Factors to consider when selling a house
Below are some of the factors that come into play when homeowners or agents want to sell a house:
1. Prevailing market condition
How’s the market? Is it favorable? There are times where markets take a hit, such as during the market meltdown of 2008. These market conditions make selling a house extremely difficult and heavily increase the average time to sell a house. Of course, when market conditions are favorable, selling is a breeze.
2. Price of the home
The price of the house is also a factor. An overpriced house will take longer to sell and may lead to a price reduction, sometimes even lower than market value.
Some neighborhoods are better than others. Factors such as crime, amenities, walkability, school district, etc., can influence the favorability of the neighborhood. Houses in “good neighborhoods” sell faster.
4. Condition of the house
From the curb to the cement in the basement, condition matters. A home that shows well, sells faster and for more money. There are several facets of a home that need to be repaired before sellers put the home on the market, including structural and mechanical damage, landscaping and minor cosmetic changes.
5. Available social amenities
Much like being in a good neighborhood, people like to have amenities nearby. Schools, hospitals, malls and more can impact a buyer’s perception of the home’s worth. The average time to sell a house depends on a number of things. It’s all a balancing act.
Sellers and real estate agents should do what they can to mitigate problems, get the home in a good showing condition and showcase the best selling points of the area.