Real estate listings that use terms like “bargain!” or “priced to sell!” aim to attract budget-conscious homebuyers. According to a new report by Realtor.com, these phrases can lead to significant savings.
The report, titled “What Is ‘Priced To Sell’ Really Worth?”, examines listings with descriptions such as “priced to sell,” “under valued,” “under priced,” and “bargain.” The findings show that these listings offer an average discount of 8.5%, translating to nearly $38,000 off the median-priced home.
“Certain ‘value’-based words used in listing descriptions are correlated with lower listing prices and can be used to help homebuyers find true bargain properties,” said Ralph McLaughlin, senior economist at Realtor.com, in his analysis.
This trend varies across different markets. The percentage of listings using the term “priced to sell” ranges from 1.9% in Long Island, NY, to 6.7% in Sarasota, FL. McLaughlin noted a strong correlation between the share of such listings and the size of the discount offered.
“Metros with a higher share of ‘priced-to-sell’ homes on the market tend to have smaller discounts compared to metros with a lower share, likely reflecting the need of sellers to actually offer a discount when other ‘priced-to-sell’ homes are rare,” McLaughlin explained.
In Southern and Midwestern markets, homebuyers can expect larger discounts on properties described as “priced-to-sell.” Here are some cities where these savings are most notable:
– Little Rock, AR: Discount: 23.0%, Median savings: $57,494
– St. Louis, MO: Discount: 18.7%, Median savings: $49,476
– Charleston, SC: Discount: 15.9%, Median savings: $79,558
– Memphis, TN: Discount: 14.5%, Median savings:$43,262
– Kenosha, WI: Discount: 12.6%, Median savings: $50,464
– Nassau County, NY: Discount: 12.5%, Median savings: $94,662
– Cambridge, MA: Discount: 11.5%, Median savings: $89,851
– Tulsa, OK: Discount: 11.4%, Median savings:$32,801
– El Paso, TX :Discount :11 .2 % ,Median saving s:$31 ,295
-Wichita ,KS :Discount :10 .9 % ,Median saving s:$28 ,655
