RISMEDIA, March 9, 2009-HomeGain®, one of the first websites to provide free instant home values, announced the results of an extensive nationwide survey on home prices based on responses of nearly 700 Realtors®.The survey shows that 45% of homeowners think their homes should be listed 10 to 20% higher than what their Realtors recommend. Nearly 20% of homeowners think that their homes are worth 20% higher than their Realtors’ recommended listing price.
Home buyers are experiencing a similar disconnect on price. According to the Realtors surveyed by HomeGain, only 18% of their home buying clients think homes are fairly priced.
Even with the precipitous decrease in home values over the past year, nearly 60% of potential buyers think home prices are too steep. Thirty-two percent of buyers think homes are overpriced by 10 to 20%. Twenty-five percent of buyers think home prices are undervalued. Fourteen percent of homebuyers think homes are undervalued by 10 to 20%.
Fourteen percent of homeowners think that the listing prices recommended by their Realtors had properly valued their homes. Sixty-three percent of homeowners believe that their Realtors undervalued their homes.
A recent Zillow® poll showed that sellers were no longer ‘in denial’ regarding the U.S. housing slide. The latest HomeGain survey, however, underscores that that while homeowners may be aware of falling home prices around the country, many believe that the slide doesn’t apply to their homes. “Our survey shows that the market and Realtors are telling homeowners their homes are worth considerably less than homeowners think they are,” said Louis Cammarosano, General Manager of HomeGain.
“Homeowners know that prices have fallen but that somehow doesn’t apply to them because they have ‘upgraded vinyl’ or some such nonsense,” stated Realtor and HomeGain AgentEvaluator® member Pamela Frey-Primiani of Keller Williams Realty in Sicklerville, New Jersey. “In other words, their house has the golden doorknob.”
Fifty-three percent of Realtors surveyed think home prices will fall in the next six months and only 11% think home prices will rise.
The Obama stimulus package was not viewed favorably by a majority of Realtors. Nearly 60% stated that it will have no impact on home prices or actually cause home prices to fall. Thirty-eight percent think the stimulus package will stabilize home prices and just three percent believe it will help increase prices.
For complete survey results, including regional breakdown and real estate agent commentary, click here to read the HomeGain Real Estate Blog.
For more information, visit www.HomeGain.com.
