Finding a home that is “priced to sell” can be a game-changer for potential buyers in today’s competitive real estate market. These homes, often marketed with terms like “bargain,” “under-priced,” or “discounted,” can offer buyers significant savings. According to a recent analysis by Realtor.com, listings with the term “priced to sell” offer an average discount of 8.5%, translating into nearly $38,000 in savings off the median home price. This makes “priced to sell” listings a valuable option for homebuyers seeking the best deal on the market.
What Does “Priced to Sell” Mean?
The phrase “priced to sell” is a clear indicator that a seller is motivated to close a deal quickly. It often reflects that the home is being offered at a discount compared to other homes in the area. As Ralph McLaughlin, senior economist at Realtor.com, explains, “Certain ‘value’-based words used in listing descriptions are correlated with lower listing prices, helping homebuyers find true bargain properties.” This discount not only provides immediate financial relief for buyers but can also increase the likelihood of making a successful offer in competitive markets.
Top Metro Areas Offering “Priced to Sell” Discounts
According to Realtor.com’s September 2024 data, Southern and Midwestern U.S. metros offer some of the biggest discounts on “priced to sell” homes. For example, Little Rock, AR, tops the list with a massive 23% discount, leading to median savings of $57,494. Other notable cities include St. Louis, MO, where buyers can save 18.7%, and Charleston, SC, with discounts averaging 15.9%. These areas present fantastic opportunities for buyers looking to make the most out of their real estate investments.
- Little Rock, AR: Discount 23% | Median Savings: $57,494
- St. Louis, MO: Discount 18.7% | Median Savings: $49,476
- Charleston, SC: Discount 15.9% | Median Savings: $79,558
These discounts aren’t just a regional trend. Cities like Cambridge, MA, and Nassau County, NY, also offer buyers significant savings, with homes discounted by 11.5% and 12.5%, respectively. However, Southern and Midwestern cities often stand out with higher overall discounts compared to their Western and Northeastern counterparts.
Why Do “Priced to Sell” Homes Offer Bigger Discounts in Certain Markets?
Interestingly, the share of “priced to sell” homes in the market affects the discount size. According to Realtor.com’s research, areas with fewer “priced to sell” listings tend to offer larger discounts when such listings do appear. This is likely because these homes stand out more and create a sense of urgency among potential buyers, pushing sellers to lower their prices to encourage quick sales.
For example, the report found that metros with the biggest discounts include cities where the “priced to sell” homes are rarer. In contrast, markets with a higher concentration of these listings, such as Florida and Western states, tend to have smaller discounts. This insight is crucial for buyers who want to maximize their savings by focusing on cities where these bargains are not the norm.
Making the Most of “Priced to Sell” Deals
For buyers, understanding the dynamics behind “priced to sell” homes is key to making the most informed decision. While the discounts are enticing, it’s also essential to consider other factors, such as the home’s condition, the local market trends, and the seller’s timeline. Working with a real estate agent who understands these intricacies can help you navigate the market and take full advantage of these deals.
Homes labeled “priced to sell” can offer significant savings, particularly in certain U.S. metros. Whether you’re looking in Little Rock, Charleston, or Cambridge, understanding where and how to find these deals can be the difference between paying full price or securing a fantastic discount. By keeping an eye on these listings, you could save tens of thousands of dollars on your next home purchase.
