50.2% of Recent Chicago Home Buyers Paid 96% of List Price or Higher
It may be a buyers market, but buyers are negotiating a lot less off list prices than you may think.
To find out how much the majority of Chicago home buyers were recently able to negotiate off list prices I looked at all Chicago home sales in the past 6 months. This included houses, condos, townhouses and co-ops.
I filtered out those sales where parking was included in the sale price. For those of you not familiar with the downtown and near downtown real estate market in Chicago, parking spaces are often priced separately, but often negotiated into the final sale price.
The result was that 50.2% of sales were for a sale price that was 96.0% of the list price or higher.
If you would like to get better results than the majority of Chicago home buyers, call (773.793.4516) or email me. Last year my buyers averaged sale prices that were 94% of list prices!
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ABOUT THE AUTHOR
Fran Bailey shows, previews and tracks downtown Chicago homes for sale. Fran has been quoted in numerous Chicago and national publications. To schedule showings for any listings, get a free market analysis for your home or to contact Fran email her at fran.bailey@bairdwarner.com or call 773.793.4516. Learn More
{ 9 comments… read them below or add one }
So on average sellers are getting 96% of their asking prices?
Hi Rich,
Good question! The 96.0% is better described as just under the median sale price to list price ratio since almost half (49.8%) of the ratios were below 96.0% and just over half (50.2) were at or above 96.0%.
The average sale price to list price ratio was 96.8%.
Well then I definitely don’t want you selling my home
Hi Michael,
I suspect your comment is based on the assumption that I represent both the buyer and the seller for my listings. I never do. Even though it’s legal, I don’t believe that it’s in the best interests of both parties. In addition, if I did, I couldn’t advise either side during negotiations.
I only represent buyers for other agents’ listings. Being always free to advise my buyers is part of how I’m able to help them negotiate sale prices that are 94% of list prices on average.
If I’ve misunderstood what your comment is about, please let me know!
I guess what I meant to say was I wouldn’t want you bringing a buyer to my sale and costing me another 2% or be my seller’s agent and help some buyer and her agent save another 2%
Michael, If I were your listing agent I would want to help you get the highest price possible. So far this year my sellers are selling for an average of 97.0% of list price. I work to get the best price for whoever I’m representing.
Fran, I guess it was funnier in my head than when i wrote it down. ; )
Michael, Or I took your comment too seriously!
It appears then the sellers (with their realtors advice) were pricing their properties realistically. Many sellers today are unrealistic and their expectations are not manageable. Good article.