My heart goes out to sellers who see new listings sell before ones that have been out there longer. I want to talk about the market in N. Kona. Just because we live on a beautiful island doesn't mean that the value of every home is high. Buyers will pay for a house what they feel it is worth, and the heartache of unrealistic expectations can be avoided when sellers listen about price-setting.
View from (MLS# 241687) house for sale in Palisades priced at $299,500
Houses That Sell Are Priced Correctly
The house above just went into escrow, and it was listed at $299,500 (originally at $349K). There were many offers. Right now, there are multiple properties in the North Kona area that are priced under $300K and 39 are in escrow. When sellers price homes correctly, they go into escrow more quickly, and right now it looks like $300K is a comfortable boundary.
Quite a few sellers have told me they reason that because the volume of sales is going up, there is less remaining inventory, thus each active property is more valuable, and they feel justified in asking more for their house. Why should they adjust their price? Because, the reality is that houses that sell are the ones that are priced correctly.
In N. Kona, of the houses that are still active, most have been on the market over 90 days. Newer and less expensive listings are going into escrow. So, my message to sellers is, if your house has been on the market for over 90 days, it is time for a realistic look at the selling price.
Whew! Got that off my chest. Well, I'm thinking about golf this week, I'm getting back into the swing of if it :) So, if you like N. Kona, and you like golf, take a look at a blog about Kona golf courses, or take a peek at these Big Island golf condos, from the Kohala Coast to Na'alehu.