Historical Analysis of Properties Sold Below List Price: 2000-2024 Insights

June 26, 2024 : The real estate market is always fluctuating, and understanding these changes is crucial for both buyers and sellers. This article examines the percentage of properties sold under the list price from January 2000 to the present month of 2024. By analyzing this data, we can gain insights into the market's past and present conditions, helping you make more informed decisions.

Starting in 2000, the percentage of properties sold under the list price was relatively high, with 52.1% in January. Throughout the early 2000s, the percentages remained high, particularly during economic downturns. For instance, during the Great Recession of 2008-2009, we saw significant peaks. In November 2008, 74.4% of properties sold under the list price, and in November 2009, this number was even higher at 79.5%. These peaks reflect the economic struggles of the time, where sellers were more willing to lower prices to close deals.

As the economy recovered, the percentages began to stabilize. In the years following the recession, we noticed a gradual decrease in the percentage of properties sold under the list price. By 2013, the percentages were lower compared to the previous decade, indicating a recovering market. For instance, in 2013, the percentage of properties sold under the list price ranged from 57.6% in April to 72.4% in January.

The market saw a significant shift in 2021. This year marked one of the lowest percentages of properties sold under the list price. In July 2021, only 13.3% of properties sold below the list price, a stark contrast to previous years. This change can be attributed to low inventory and high demand, leading to competitive bidding wars where many homes sold at or above the list price.

In 2022, the market began to stabilize again. Although the percentages were higher than in 2021, they were still relatively low. The percentages ranged from 16% in April to 71.5% in December. This variation reflects the typical seasonal trends in the real estate market, with higher percentages often occurring in the winter months.

Looking at 2023, we see a continuation of this stabilization. The percentages varied from 55.6% in April to 72.5% in December. This indicates a balanced market with steady buyer and seller activities. The data suggests that while the market was not as overheated as in 2021, it remained robust.

So far in 2024, 66% of properties have sold under the list price. This is a notable increase compared to the previous year, suggesting a potential cooling in the market. This could be due to several factors, including rising interest rates, which reduce buyer affordability, and economic uncertainties that impact buyer confidence.

In conclusion, the data from January 2000 to June 2024 highlights the dynamic nature of the real estate market. By understanding these trends, buyers and sellers can better navigate the market, making more informed decisions. Whether you are looking to buy or sell, staying informed about market conditions is essential. ​

This article is based on data published on June 26, 2024. Austin Real estate statistics are constantly evolving. For the most current data and analysis, please refer to the following resources, updated weekly: Sold to List Price Ratio