• Menu
  • About
  • REVIEWS

KAYE SWAINKAYE SWAIN

Kaye Swain Roseville REALTOR - Specializing in Over 55 Communities in Roseville CA Area

9167680127
KayeSwainRE@gmail.com
  • Menu
  • HOME
  • Blog
  • Roseville CA
  • Retirement
  • real estate update
  • Brand New Homes
  • Homes For Sale
  • Home Value
  • Sell home
  • virtual home tour
  • Homes sold

In Today’s Market, Listing Prices Are Like an Auction’s Reserve Price

Thank you for sharing....

In Today’s Market, Listing Prices Are Like an Auction’s Reserve Price | Simplifying The Market

For generations, the process of buying and selling a home never really changed. A homeowner would try to estimate the market value of their house, then tack on a little extra to give themselves some negotiating room. That figure would become the listing price. Buyers would then try to determine how much less than the full price they could offer and still get the home. As a result, the listing price was generally the ceiling of the negotiation. The actual sales price would almost always be somewhat lower than what was listed. It was unthinkable to pay more than what the seller was asking.

Today is different.

The record-low supply of homes for sale coupled with very strong buyer demand is leading to a rise in bidding wars on many homes. Because of this, homes today often sell for more than the list price. In some cases, they sell for a lot more.

According to Lawrence Yun, Chief Economist at the National Association of Realtors (NAR):

“For every listing there are 5.1 offers. Half of the homes are being sold above list price.”

You may need to change the way you look at the asking price of a home.

In this market, you likely can’t shop for a home with the former approach of negotiating to a lower price.

Due to the low supply of houses for sale, many homes are now being offered in an auction-like atmosphere in which the highest bidder wins the home. In an actual auction, the seller of an item agrees to take the highest bid, and many sellers set a reserve price on the item they’re selling. A reserve price is the minimum amount a seller will accept as the winning bid.

When navigating a competitive housing market, think of the list price of the house as the reserve price at an auction. It’s the minimum the seller will accept in many cases. Today, the asking price is often becoming the floor of the negotiation rather than the ceiling. Therefore, if you really love a home, know that it may ultimately sell for more than the sellers are asking. So, as you’re navigating the homebuying process, make sure you know your budget, know what you can afford, and work with a trusted advisor who can help you make all the right moves as you buy a home.

Bottom Line

Someone who’s more familiar with the housing market of the past than that of today may think it’s foolish to offer more for a home than the listing price. However, frequent and competitive bidding wars are creating an auction-like atmosphere in many real estate transactions right now. Let’s connect today so you have a trusted real estate professional on your side to provide the best advice on how to make a competitive offer on a home.

Content previously posted on Keeping Current Matters

Contents of this article...

    • Today is different.
    • You may need to change the way you look at the asking price of a home.
  • Bottom Line

Posted in: Real Estate Info Tagged: real estate, Real Estate Market, real estate news

Post navigation

« Why You May Want To Cash in on Your Second Home
Home Price Appreciation Is as Simple as Supply and Demand »
Kaye Swain REALTOR in Roseville CA real estate news and services including aging in place-multigenerational boomers and seniors old and vintage houses and first time home buyers

Hi and Welcome to KayeSwain.com.

Are you looking for homes for sale in Roseville CA and the surrounding area? I appreciate your stopping by and invite you to check out the various options available - from blog posts to inform you about this lovely Greater Sacramento Valley Area, to home searches you can set up - such as homes for sale Roseville, Lincoln, Rocklin, Granite Bay, Citrus Heights, Carmichael, Fair Oaks, etc, to fun real estate eye candy and more. And yes! This is true for residential neighborhoods, condo communities, and all of our lovely 55+ active senior retirement communities. If you have any questions about buying OR selling your home in Roseville or the surrounding Sacramento area, do give me a buzz at 916-768-0127 or email us at KayeSwainRE@gmail.com We're here to help you and your family with your real estate needs.

Kaye Swain Sun City Roseville Real Estate Agent

Search for Homes for Sale

Search KayeSwain.com

Search for:

Click here and sign up to get my free weekly emails where I share Roseville and Sacramento area updates, fun events, holiday happenings, real estate market info, and more. KayeSwain.com/free-weekly-area-updates

Tags

55+ senior retirement homes 95747 aging-in-place aging in place for boomers and seniors aging in place options boomers and seniors Brand New Homes buy or sell a home Citrus Heights Corona Virus Del Webb The Club At Westpark golf course home sellers homes for sale homes for sale in Citrus Heights homes for sale in Lincoln homes for sale in Rocklin homes for sale Rocklin CA homes for sale Roseville CA Homes sold multigenerational open house Placer County real estate Real Estate Market Real Estate Market Update real estate news real estate update restaurants Retirement Rocklin Roseville Roseville CA Sacramento Sacramento County seasons Silverado Homes at Eskaton Village Sun City Lincoln Hills Sun City Roseville Sun City Roseville Homes for Sale virtual home tour weather weekly market stats West Roseville winter

Search KayeSwain.com

Search for:

CLICK HERE for free weekly emails where I share Roseville and Sacramento area updates, fun events, holiday happenings, real estate market info, and more. KayeSwain.com/free-weekly-area-updates

CLICK HERE to read our blog
CLICK HERE to read RosevilleCaliforniaJoys.com

Resources for Buyers

The Ultimate Home Buyer's Guide

Resources for Home Sellers

Click here for Kaye Swain’s ebook -> Your Home Sellers Guide 

 

 

Resources for Boomers and Seniors

  • Seniors First Resource Guide
  • John Palley,Attorney – Certified Specialist in Estate Planning, Trust and Probate Law – offers an excellent and free book you can download as a pdf – “How to Live & Die With California Probate.” (Scroll to the bottom of his page and click the photo of the book)

 

RSS Roseville California Joys Blog – Latest Posts

  • SUNNY News In Roseville CA Area [Yummy News too!]
  • Holiday News In Roseville CA Area and More!

CONTACT US

9167680127
KayeSwainRE@gmail.com
Christian Kaye Swain real estate agent blogger in Sacramento Roseville CA first time home buyers boomers seniors 700 700 with kw logo
© 2023 · Equity Framework
Kaye Swain Roseville Real Estate Agent, 916-768-0127, KayeSwainRE@gmail.com, CalBRE#01966207, with Keller Williams Realty, 548 Gibson Drive, Suite 200, Roseville CA 95678, (Each office is independently owned and operated)

If you have a brokerage relationship with another agency, this is not intended as a solicitation. Equal Opportunity Housing Provider.

Use of this site means you agree to the Metrolist Terms of Use. The content relating to real estate for sale on this web site comes in part from the IDX program of the MetroList MLS Services. Listing content is copyright © 2017 MetroList MLS Services. All information provided is deemed reliable but is not guaranteed and should be independently verified. The information provided is for consumers. personal, non-commercial use and may not be used for any purpose other than to identify prospective properties for purchasing. Please contact Kaye Swain Real Estate directly for additional information pertaining to the status and availability of properties displayed on this website.

We are a participant in the Amazon Services LLC Associates Program, an affiliate advertising program designed to provide a means for us to earn fees by linking to Amazon.com and affiliated sites.

*****************************************************************************

This blog may also contain other affiliate posts, ads, and links and we may receive compensation for posting those as well as for links that are clicked

Log in