Just like any other product that is bought and sold, real estate is affected by supply and demand. By determining the absorption rate we can tell what you should realistically expect to pay for your home purchase. Let’s look at the below example, it is a sample of Dallas Georgia homes priced between $175,000 to $200,00.
Statistically homes that sell in 88 days or less sell at or slightly below list price, this means the homeowner listed the home at the correct price. Homes in the $175K-200K price range that are on the market over 88 days have a 73.9% chance of not selling at all! This is not where you want to be when selling, it means you will begin to believe you will not get a buyer. It also means you will realize you must drastically lower your price.
In Paulding County Georgia, here is February 2011 Market Absorption for homes ranging from $175K-$200K.
Current number of homes on the market _____92 _________
Number of homes that failed to sell in the past 12 months _____265_________
Number of homes that Sold in past 12 months _____120_________
Total number of homes sold per month _____10_______
Total Months worth of Inventory _____9.2 _______
Current number of homes on the market ______92 ________
Number of new inventory for this period ______23______
Total Inventory ______115_____
Number of Homes that will sell ______30______ ___26.1%____
Number of Homes that will not sell ______85 ______ ___73.9%____
Average Sold Price during the last 12 months _$182,799_
Based on the above information, we believe your home should be priced between $164,500 & $173,500.
For a FREE List of 4 Bedroom Dallas GA Foreclosures & Short Sales under $100,000 click the link or fill out the form below.