Real Estate Inventory is rising quickly and is up around 15% since the beginning of the year. The reason is many folks are listing their homes at prices that buyers are not finding attractive.
When we get a call from someone looking to list their property I tell them that I am going to be straight up with them about what their house is likely to sell for in today's market. We will not take overpriced listings because they are not helpful to us or our customers. Forget last years prices and certainly don't think about the value of your home in 2006. We have to deal with the reality of the moment. The strategy of well we can always come down on price is not working. There is plenty of inventory out there priced right that buyers can choose from.
If you are not happy with the current market value of your home don't try to sell it. Perhaps renting your home is an option. The Tyson Group has a property management division so we can help you with that if you so choose.
If you looked at a graph of home prices nationwide for the last 70 years there would be a gentle rise of around 2-3% per year depending on where you were. In 2004-2006 home prices rose 89% which was unsustainable and required the real estate market to correct itself. That is what is happenning now. A home is a great investment. You get to live in it and in the long term home prices will appreciate around 2-3 % per year. In the short term, as with any investment, we don't know what will happen.