Is it really true that buyer demand is slowing down? If you have been watching the news or paying attention to the media lately, then you’ve probably heard how the real estate market is not what it was a year ago. Many homebuyers around Detroit MI have been backing out of the market. Interest rate hikes and inflation have caused price increases on everyday goods and services and it’s effecting everyone in one way or another. As it pertains to Detroit real estate, buyer demand is slowing down. In this post we will cover some crucial things you can do as a seller in order to navigate through these current market conditions to achieve a successful sale.
Be cautious when pricing
The biggest mistake sellers make in a buyer’s market is asking way too much for their house. In a buyer’s market, the buyer has more inventory to choose from and also has more negotiating leverage. As tempting as it may be to ask for more than you expect and try to squeeze out every penny possible, it is a huge mistake. A potential homebuyer will run away quickly and make an offer on another home. The best thing to do as a home seller is to look carefully at the most recent sales in your neighborhood and price your home accordingly or even slightly lower. Frequent price reductions tend to scare buyers off and cause suspicion.
When pricing your home in a buyer’s market, it is crucial to keep the condition of your property in mind. If the house is not fully updated or needs major repairs then make sure to price it accordingly. It costs a lot more to do certain repairs on a home today compared to what it may have cost a few years ago. It can be highly expensive to put on a new roof in 2023, as the cost of labor and materials have increased significantly! Even in a scenario where you may have recently updated your house, it is important to ask yourself how quickly you would like to sell. Typically the more competitive the price, the quicker the sale will be completed and done with.
It is important to be reasonable when negotiating the sale of your house when buyer demand is fading away. In market conditions like these, the buyer has more leverage than the seller. Oftentimes, a seller can be stubborn and isn’t willing to budge on price or terms and scares the buyer away and sabotages the sale. Don’t make that mistake!
Work with a local professional
Nobody knows the Detroit real estate market better than a local professional who works in the field everyday. If you have concerns as a seller and you’re ready to sell your home, contact Detroit Fair Offer now! Although buyer demand is slowing down, we are still active homebuyers in Detroit. Feel free to call us at 313-647-8806