... and Higher Selling Price
More properties were sold above their asking price this year, as tight supply conditions
continued to heat up market competition in the first half of 2013, according to the
CALIFORNIA ASSOCIATION OF REALTORS®’ (C.A.R.) “2013 Annual Housing Market
Nearly half (49.5 percent) of all homes sold in 2013 were sold above asking price, nearly twice the share in 2012 (25.9 percent) and triple the share in 2011 (16.6 percent). The 2013 figure was more than twice the long-run average of 18 percent during the past 20 years. For homes that sold above the list price in 2013, the median premium paid over the list price was 4.8 percent, unchanged from 2012. For the third consecutive year, an increasing number of home sellers – nearly half – planned on purchasing another home in the future.
“Sellers are more upbeat about the housing market and are more comfortable with their
financial situation. As the real estate industry and the economy continue to recover, many sellers regained confidence in owning a home since the Great Recession,” says C.A.R. President Don Faught. “The number of home sellers planning on repurchasing, in fact increased to the highest level since 2007, which suggests that repeat buyers could be the driving force in the housing market in 2014.”
The shortage of housing supply intensified further this year, leading to heightened market [more...]