Real Estate - List Price vs. Sale Price: What's the average discount?

Question

I just received a bid to sell my house at 5% less than the asking price. What is the average percentage of reduction?

Answer 1

In North Texas it has ranged from 4% to 6% over the last twenty years. In good markets and in bad.

I would not be thinking along those lines though. I would be thinking about how much are homes like mine selling for right now in my area.

Why walk away from thousands of dollars if it is there to be had?

Answer 2

Talk to a Realtor. They will give you the sold prices for homes on this area and walk you through a market analysis. Call your local broker and ask for the manager to hook you up with an experienced Realtor that will walk you through this and all the other steps. Lot's of luck!

Answer 3

There's no definite rule of thumb. If you have a Realtor, I'd ask them to provide me with the average List Price to Sale Price Ratio for my neighborhood to give me a general idea.

More specifically, I'd ask them to provide me with comparables, both active listings (currently competing for the same buyers) and sold listings (show what an actual buyer was willing to pay) for my area to give me a more specific price range to accept.

Answer 4

It depends entirely on your market area. In my area, 5% is considered a bit on the high side, but this will vary according to the 'health' of the real estate market in the area, as well as according to what you are asking for the house relative to market values of similar properties.

Answer 5

at the end of the day, does it fit your budget? That's all that really matters. On the other hand, if you are in a buyers market (like I am) and offers are not piling up... then take what you can get while you can still get it!

Good luck.

Please dont forget to vote for me as you best answer ;-)