I try to keep a close eye on our real estate market. As a Real Estate Investor, I have to make sure that I know what houses are worth and how long it takes them to sell, which is just as important.
When someone calls me to sell their house I like to give them options. I not only give them a cash offer which I can close in just a few days, I also try to let them know about what their house would bring if they were to list it with a Realtor. Then they can make a good choice based on the facts.
It is usually pretty easy to tell someone how much their house is worth. There are comparable market sales that help me determine that. The harder question to answer is how long will it take to get the house sold.
Right now in Amarillo it takes anywhere from 4 to 7 months to sell a house priced $200,000 or less. You can figure that out by looking at the Months of Inventory in the chart below. For example, look at the $70,000-$89,999 price range. There is a 6.3 month supply of inventory. What this means is that if there were no new listings that came on the market it would take 6.3 months for all of the current listings to be sold. It is also a rough indication of how long it will take a house in that price range to sell. It is not an exact science but it is pretty dang close.
| |
Sold
|
Average
|
Active Listings
|
Months
|
|
Listings
|
Per
|
Of
|
| Price Class |
Total
|
Month
|
Total
|
Inventory
|
| $69,999 and Under |
217
|
36.2
|
156
|
4.3
|
| $70,000-$89,999 |
139
|
23.2
|
146
|
6.3
|
| $90,000-$99,999 |
80
|
13.3
|
63
|
4.7
|
| $100,000-$119,999 |
188
|
31.3
|
145
|
4.6
|
| $120,000-$139,999, |
203
|
33.8
|
151
|
4.5
|
| $140,000-$159,999 |
137
|
22.8
|
157
|
6.9
|
| $160,000-$179,999 |
97
|
16.2
|
91
|
5.6
|
| $180,000-$199,999 |
96
|
16.0
|
86
|
5.4
|
| $200,000-$224,999 |
74
|
12.3
|
64
|
5.2
|
| $225,000-$249,999 |
68
|
11.3
|
71
|
6.3
|
| $250,000-$299,999 |
69
|
11.5
|
99
|
8.6
|
| $300,000-$399,999 |
61
|
10.2
|
93
|
9.1
|
| $400,000-$499,999 |
14
|
2.3
|
47
|
20.1
|
| $500,000-$699,999 |
6
|
1.0
|
32
|
32.0
|
| $700,000-$999,999 |
3
|
0.5
|
27
|
54.0
|
| $1,000,000 and Up |
3
|
0.5
|
11
|
22.0
|
| ***Totals*** |
1455
|
242.5
|
1439
|
5.9
|
| ***Average*** |
$150,101
|
|
$203,192
|
|
| ***Median*** |
$129,000
|
|
$149,000
|
|
But remember, this is just a guide. There are still free market forces at work. If you have a very nice house that doesn’t need any work and you price it too cheap it will sell sooner. If you price it too high and it needs a lot of work it will sell much later, if it sells at all. There are houses all over Amarillo that have been on the market for a year or longer. Many of these houses are not in good enough condition to be sold with a Realtor.
In the end it really all boils down to condition and price. If you price your house correctly you can expect it to sell in about 4-7 months if you use a Realtor. Of course you will have to pay a Realtor fee of about 6%, plus you own closing costs of about 1%, plus buyer closing costs of 3-6%, and make any necessary repairs. For some people it is better to take my offer and close the same week. For others it is better to wait it out and use a Realtor.
I can tell you this much, regardless of what the charts show, it has gotten much more difficult to sell a house in Amarillo. Banks are looking for reasons not to make loans. Buyers are expecting to find bargains and negotiate harder than ever. They also hire inspectors and expect you to make a lot of repairs. There just also seems to be more competition than ever. Every month more and more foreclosed HUD houses come on the market that can be purchased for a discount. This is stiff competition for you if the house you are selling needs work.
So how long will it take you to sell your house on your own or with a Realtor? I would say pretty close to 4-7 months if you price it correctly and it is in sellable condition. It may take longer or it may be sooner. If you would rather have your money this week then let me make you an offer. When you compare my offer with the amount that you would actually net if you used a Realtor, you will be very surprised. If you want more information call me today at 806-359-7653. Or you can check out our website at Sell My Amarillo House
