Findings Showcase Benefits of Selling a Home in Today’s Market
NORFOLK, VA (June 10, 2021) — The on-fire housing market is paying hefty dividends for sellers, prompting many homeowners to put their homes up for sale sooner than planned to take advantage of market conditions, according to a Homes.com survey of 1,600 consumers. 82% of homeowners selling in the last six months accepted offers at listing price or above, nearly half sold in less than a month, and one-fourth had five showings or fewer before finding a buyer, reflecting both the low supply of available homes and the rush to buy when new listings hit the market.
Significantly, of the sellers surveyed who intended to purchase another home, 86% were able to do so and move in immediately despite limited inventory. The rest moved to a rental situation while continuing to house-shop. Of the sellers with no plans to buy, 24% moved to their secondary home, 19% had already purchased a new home and rented while waiting for it to be built, 11% began renting with no plans to buy, and 9% moved in with family or friends.
“One of the major hesitancies homeowners have in putting their homes on the market in today’s environment is a concern about not being able to buy another property because of listing shortages,” said Homes.com President, David Mele. “Our survey found that sellers are not only reaping the benefits of selling in the current market, but are also finding successful ways to purchase their next home.”
Of the survey respondents who sold their homes in the last six months:
- 33% sold at listing price and 49% sold above listing price, with 27% accepting offers $10,000 and even $20,000+ higher than their requested sale price.
- 27% had five or fewer in-person showings before sale and 26% had between six and ten. Nearly 10% had no in-person showings at all.
- One-third sold within the first five offers received and nearly two-thirds within the first 10. This roughly correlates to the number of showings, indicating that sellers received bids after virtually every walkthrough.
- 22% sold in less than two weeks, with 25% on the market for just two to four weeks and 27% for one to two months. Fewer than one-third were on the market for longer than two months.
- Nearly 60% listed their homes at or below $300,000 , which is slightly below the median existing-home sales price of $341,600 (April 2021, National Association of Realtors).
- One in three entered the market only because they saw the opportunity to sell quickly and profitably, either accelerating their planned sales timeline (23%) or deciding to sell despite no previous intention to do so (11%).
The strong seller’s market also enabled many of the sellers surveyed to refuse consideration of contingencies and other strings-attached offers, yet they were more flexible when it came to making repairs requested after showings or home inspections. The survey found that:
- 28% of sellers required all-cash payments, no contingencies and/or less than 30 days to close, leaving buyers without the flexibility available in less competitive markets.
- 56% nevertheless agreed to perform repairs, upgrades or replacement requested by buyers as a condition of sale, with just 14% declining and 6% selling “as is.”
- 34% spent $10,000 or more on requested repairs, upgrades or replacements, but one in four recouped those costs by selling for $10,000 or more over listing price.
Reasons for sale also varied widely. According to the survey:
- 43% were spurred to sell because of COVID-19 challenges that impacted their financial situations.
- 44% decided to move for other reasons including a job relocation (14%), upsizing or downsizing needs (14%), a desire to move to another neighborhood (8%), retirement (4%) or a transition to remote working providing the option to relocate (4%).
- 11% had not planned to sell at all but changed their minds because of the booming pace of home sales in their communities, including 5% who received unsolicited offers.
More information on Homes.com’s seller survey is available at https://go.homes/seller-survey-2021.
Homes.com offers today’s demanding homebuyers, renters, and those somewhere in between a simply smarter home search with a more personalized and conversational way to find their next home. Since its launch over 25 years ago, Homes.com offers real estate professionals brand and property advertising, search engine marketing, and instant response lead generation to help them succeed online. For more information, visit Homes.com.