Monday, May 11, 2009

In this market- how long is reasonable to have our house listed?


"We're priced in our comp range - and have been told our home shows really well - so I think we've done all WE can to get our house ready. Our Realtor has done a great job advertising and having open houses, but property is just not moving. We really just want to upgrade while prices and interest rates are low, but don't HAVE to move/sell because of jobs or anything.
How long is reasonable to leave our house on the market these days? We won't lower our price because we're already at a pretty narrow profit margin and to go down $5K would not leave us with enough profit to make a down payment on a bigger house. Also, we don't want to live in limbo forever. We have a toddler, and keeping the house "show ready" all the time is a challenge. We had planned on taking our house off the market after 90 days (June 1st) - but I'm now wondering if that was reasonable. We've been listed since March 3 - have had several lookers, but no offers. What are your thoughts?"


If you plan on moving to a more expensive home it may be a good time to make the move even if you take a loss. The more expensive home that you are looking at moving into is probably at a more discounted price than your house. When prices start to go up the price differential between your house and the more expensive one will likely increase.

The problem, as you mentioned, with discounting your current house is that the price drop will come directly from the equity you'd like to use for a down payment. So it may not be realistic for you to move now.

90 days is a pretty short list period in these times. If you are serious you might consider giving it longer. If you can put up with having your house on the market another 90 days might be a good idea.

The weather has finally warmed up, interest rates are low and there are signs of life in the real estate market. Give your agent a chance to get the job done.

Here's a link to a listing of homes on the market in your area, Rochester Minnesota

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