When I was listening to Howard Clark on talk radio yesterday, he highlighted the recent news about new home sales statistics vs. existing home sales. Did you hear the news? The latest reports show that existing home sales are down 13%, but that new home sales from builders are down twice that percentage.
Besides the trauma that home builders feel, it has an impact on the homeowner who is currently trying to sell their home in this market. Unfortunately, existing home sellers can not equally compete against a home builder. He/she is able to offer incentives that the existing seller cannot. Also, they can drastically lower the price to avoid bankruptcy and prepare to fight another day.
Unfortunately, I am starting to see the impact on my current homeowners that have listed with my company. With the last 2 agents that I spoke with to get feedback on what their clients thought of my listings when they showed them this week, both said that their clients were leaning towards the new homes because of the incentives being offered.
Lesson to buyers: bargains to be had in new homes!
Lesson to sellers: reiterate how long it took for your punch list to ever be completed by the builder!
for more information, check out: www.audreybutlerhomes.com
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