RISMEDIA, June 1, 2007-According to results from the ZipRealty first quarter 2007 Housing Market Perception Survey, buyers and sellers perceive an improvement in home pricing trends and believe the housing market is beginning to stabilize, indicating sellers are more realistic with their pricing and expectations and that fewer buyers are “fence-sitting.”
ZipRealty’s survey results reveal a shrinking percentage difference between buyer and seller views of home price trends, a sign that both are beginning to see eye-to-eye. The percentage difference between buyers and sellers who believe prices will decline decreased from 26% in the fourth quarter 2006 to only 19% in the first quarter 2007, while the percentage difference between buyers and sellers who think prices will increase declined from 10% to six percent.
“As we enter the prime summer real estate season, we believe sellers are more realistic with their pricing and are more willing to negotiate and work with buyers,” ZipRealty’s President Patrick Lashinsky explains. “Our recent survey results support our belief that the current market continues to favor buyers, but that buyers are actively looking to submit an offer once they find the right home at the right price.”
ZipRealty’s most recent monthly Price Reduction Index, which tracks housing trends in 18 markets nationally, reveals a month-over-month increase in the percentage of actively listed homes with at least once reduction in listing price, a signal that sellers are lowering their expectations this spring. Additionally, the number of single family homes and condos listed for sale are up 32% in April 2007 compared to one year ago.
This survey was conducted online by ZipRealty between March 6 and 20, 2007. The sample size was 3,435 total respondents, all of whom are registered and active clients on the ZipRealty Web site. Survey results have a 2% margin of error at a 95% confidence level.
ZipRealty tracks the active home inventory and the number of prices reductions in ZipRealty market areas for 18 markets across the county. Inventory consists of single family homes and condos and the inventory is taken at the end of each month. The 18 markets which ZipRealty tracks data are the following: Baltimore, Boston, Chicago, Dallas, Houston, Las Vegas, Los Angeles, Miami, Minneapolis, Orange County, Orlando, Phoenix, San Francisco/Bay Area, Sacramento, Seattle, San Diego, Tampa and Washington, D.C. A home is considered to be a “price reduction” if it lowers the selling price at least once before it is sold. Data have been taken from the local multiple listing services in each of ZipRealty’s markets.
For more information, visit www.ziprealty.com.