What are buyers paying compared to the Listed Price? (Nov 2008)

Single Family Homes, Metro-Calgary

Out of the 453 SFH sales thus far in November, 12 have sold above the asking price (between $100 to $21,155 above) and 13 have sold at exactly List Price.  View the chart below for the remainder of sales:

(click twice to enlarge to full size)

The average Sale Price to List Price Ratio so far this month is at 95%
The highest Sale Price to List Price so far this month is at 107%
The lowest Sale Price to List Price so far this month is at 75%

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Condos, Metro-Calgary

Out of the 187 condo sales month-to-date, 5 have sold above the asking price (between $100 to $3,200 above) and 2 have sold at exactly List Price.  View the chart below for the remainder of sales: 

(click twice to enlarge to full size)

The average Sale Price to List Price Ratio so far this month is at 95%
The highest Sale Price to List Price so far this month is at 102%
The lowest Sale Price to List Price so far this month is at 76%

 

2 responses to “What are buyers paying compared to the Listed Price? (Nov 2008)

  1. Rational Exuberance

    I appreciate this Mike, although I have trouble making any meaningful analysis from this type of data other than it shows how unrealistic sellers are of market value.

    Even that is doesn’t really show, because I assume the data references the final list price before a transaction. Many sellers change list price multiple times before a transaction, so what does it really show?

    Example, 2 identical houses, both end up sellling for 300K. One was listed for 500K, reduced to 400K, then to 299K: it shows as selling above list price. The market must be hot!

    The other was listed for $320, and sells at $300K. Oh, the market must be cold, as the buyers was able to get a 20K discount!

    Both of these conclusions (the market is hot; the market is cold) are incorrect. The only thing we know is that the market price for that home is 300K.

  2. Thanks for your comments RE. You’re correct – the data does reference the final list price and not the original price the home was listed at.

    What the stats do show us is that the homes selling above LP are rare, even if they were underpriced to begin with. Over 50% of single family homes are selling between $5k-$20k under the asking price. In time, sellers that are serious about selling will look at these sold prices and list their house accordingly.

    When you’re in the market & thinking of putting an offer in, I’ll be able to put together the statistics for the specific community – taking into account the selling price of comparables (market price) along with their original listing prices, original list date, etc. It’s just difficult trying to present this info when basing it on all of Calgary.

    If someone wants to suggest a community, I can start doing some more indepth reports on them one at a time.

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