Homes Selling for More than List Price
Unusually high demand for homes in central Ohio and lack of sufficient inventory has resulted in homes selling for more than the asking price for the last couple years.
The number of homes that sold for less than the list price as well as those that sold for more than the list price started almost equally early in 2021. However, homes that sold for more than the asking price escalated quickly and peaked this summer.
Three out of every five homes sold in August sold for more than the home was listed for according to Columbus REALTORS®.
“With such tight inventory, many buyers continue making the decision to offer more than the home was listed,” said Michael Jones, 2021 President, Columbus REALTORS®. “However, in the last couple months, buyers seem to be more contemplative when considering their offers and how much they’re willing to go over what the home may appraise for.”
Even with the tempering of over list price offers, August recorded the highest number of home sales in central Ohio history. The 3,694 sales last month was 9.3 percent higher than one year ago. Year to date (January – August), home sales are 10.3 percent ahead of 2020.
Record high contracts documented in August suggest home sales in September will also be impressive.
The number of listings added to the market last month was almost 12 percent higher than August of 2020, but down almost 13 percent lower than July.
“Fewer homes listed for sale in the fall is not surprising as kids head back to school and traditionally, the housing market tends to take a breath,” added Jones.
“However, even with record sales last month, the number of homes still available for sale was 24.4 percent higher than last year, providing buyers with even more selection.”
The time it took to sell a home remained at 11 days last month.
Homes under $350,000 sold in an average of 9 days. Homes sold between $350,000 and $500,000 took about 10 days to sell. Homes in the $500,000 to $700,000 price range sold in an average of 17 days, and homes over $700,000 were on the market for an average of 28 days.
For the first eight months of 2021, homes have sold in an average of 16 days. Breaking this down by price range, homes under $350,000 sold in an average of 14 days. Homes priced $350,000 -$500,000 took 17 days. Homes between $500,000 and $700,000 took 26 days to sell and homes over $700,000 sold in an average of 38 days.
The average price of a home sold in August was $308,087, up 10.4 percent from August of 2020. The median sale price was up 13.2 percent to $275,000.
Columbus REALTORS® is comprised of almost 9,500 real estate professionals engaged in residential sales and leasing, commercial sales and leasing, property management, appraisal, consultation, real estate syndication, land development and more.
The Columbus REALTORS® Multiple Listing Service (MLS) serves all of Franklin, Delaware, Fayette, Licking, Madison, Marion, Morrow, Pickaway and Union Counties and parts of Athens, Champaign, Clark, Clinton, Fairfield, Hocking, Knox, Logan, Muskingum, Perry and Ross counties.