Gap Between Asking, Selling Price Narrows, Says Zillow
The gap between asking price and selling price is closing -- indicating a potential alignment of sellers' asking prices and the current housing market. According to a Zillow real estate market report, buyers paid 3.3% or nearly $7,039, less than the last listing price on homes for sale in July. That’s down from 3.5%, or $7,630, in June, and 4.6%, or $10,260, in January. Zillow reported 22.8% of all homes listed for sale on its Web listing service had at least one price reduction as of September 1 and the median reduction was 6.5% off the original listing price. Negotiating power varied from region to region. Florida homebuyers had the most negotiating power in July, with 13 of the 25 metropolitan statistical areas (MSAs) having the greatest difference between asking and selling price were located in the state. There was little to no negotiating room in some California markets, however. In some areas, buyers paid above asking price, and in seven major California markets, asking prices and selling prices were the same. Write to Austin Kilgore.