One of the biggest problems today’s home sellers face is coming to terms with the realities of price. For many who watched the dramatic rise of their homes value during the past decade, the truth hurts. Homeowners who had wished to trade up and to use their existing equity as a source of down-payment have made the depressing discovery that the equity they thought secure, was wiped out as home prices plummeted. Others who just wanted to “cash in” on their home’s equity in order to downsize and save for retirement have also been disappointed.
There was another group, however, who were unable to accept the possibility that THEIR home was part of the housing crisis; and they boldly called in Realtors® and asked them to list at yesterday’s price. Many of that group interviewed several agents before finding one who would agree to list for the specified amount. And those homes either languished on the market or were sold at greatly reduced prices, once the seller realized the realities of the market.
There are growing indications, however, that an increasing number of home sellers are aware that the boom market is gone and unlikely to repeat in the foreseeable future. According to a report on Fox Business, a Rasmussen survey has found that fewer than 50% of homeowners believe their home will increase in value during the next five years. While some sellers may not have yet embraced the current pricing structure, they seem to understand that the market has changed.
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