High demand for homes for sale mixed with low inventories is prompting bidding wars. Thirty-seven percent of properties that closed in March sold at or above the list price, according to the
March 2018 REALTORS® Confidence Index Survey. That's higher than a year ago, when 35 percent of properties sold at or above the list price.
“Buyer demand continues to outpace the supply of homes being listed for sale in the market, sustaining the upward pressure on home prices,” the National Association of REALTORS® reports on its Economists’ Outlook blog.
Seventeen percent of properties sold at a net premium in March, up from a 9 percent share in 2014 and 2015, according to NAR. Of the homes that were sold at a premium, 87 percent sold at 101 to 110 percent of the list price; 7 percent sold at a premium of 11 to 20 percent; and 5 percent sold at more than a 20 percent premium.
Properties were typically on the market for 30 days in March. REALTORS® wrote an average of 2.4 offers per client, according to the report. The two most common problems encountered for contracts that had a delay to settlement, REALTORS® reported, were from issues related to obtaining financing (38%) and appraisal issues (19 percent).
Source: “More Properties Were Sold at or Above the List Price in March 2018,” National Association of REALTORS® Economists’ Outlook blog (May 8, 2018)
