Price Changes – the award goes to…
Our market has changed quite a bit since Summer of 2005 to Summer 2007. Sellers enjoyed the market back then, as it was all in their favor – in other words, a seller’s market where properties went quickly and each new listing could be counted on to list at a higher price than the the last one.
Well, now the shoe is on the other foot, and it’s not a comfortable fit for many sellers, especially those who brought their properties onto the market just as it was turning or even worse, bought when it was just turning in the hopes of making a quick resale. At that point in time, sellers were still pricing aggressively, unaware of the ongoing change. Now its all too clear that we are in a strong buyer’s market and those hoping to sell have to adjust their prices accordingly.
More often than not, there are daily price MLS changes across the board, with 99% being a price decrease. Some sellers like to trend downward slowly hoping to attract a buyer with a $10K or $20K price reduction. On the other end of the spectrum are those who hold steady to a price for an extended period of time but when they do reduce, its substantial.
My award for the most dramatic price change of late is Pali Ke Kua 105 which was reduced by $200,000 yesterday, from $995K to $795K making it quite an attractive buy for the million dollar views that it offers. This unit started at $1.195M in December of 05, went up to $1.395M at one point before starting its price decrease. Clearly when the seller listed this unit they had no idea the market was heading the opposite direction but they have since corrected their price to be more reflective of today’s pricing. This is my pick for the best price reduction in recent real estate history and I expect it to go quickly. If you have not seen the views from this unit, they are of Hanalei Bay and Bali Hai.
This is not the view from 200 feet from the front door or around the corner, this is THE VIEW from the unit:
If you have interest in this unit or want to know about other great buys, call or email me!
Aloha,
Elaine Schaefer (R, GRI, ABR)
Broker in Charge – Princeville Resort Office
Graduate, Realtor’s Institute
Accredited Buyer’s Representative
Top Producer 100% Club
RE/MAX Kauai
Princeville Resort Office
POB 223632
Princeville, HI 96722
cell: 808 639 2935
home fax: 1 808 440 4552
email:sold@hawaii.rr.com
website:www.kauaiforsale.com
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July 28th, 2007 at 8:50 am
Hi Elaine, and bless you my child for telling the truth about the market. I have been shouting it from the rooftops, but for the most part my voice echos off in the distance unheeded (especially by sellers!)
This unit with the $200K price reduction does look great and what a view! How big is the lot? or is it a condo? You can send me details to my email: Mike@MikeSells.com on the Big Island. Maybe I can find a buyer for this property. We are starting to see “vulture buyers” now, which is not meant to be derogatory, but they are swooping in to buy up some bargains which we will see more of.
Thanks again for a great post!
Aloha, Mike Kerr
RE/MAX Pacific