What to do if you’re an upper bracket home owner in Plymouth, MN. Upper bracket home sellers who own properties built before 2000 and are listed between $499,000 – $800,000 are not having an easy time selling in Plymouth. The new construction build out is causing lots of challenges.
Based upon a search of the NorthstarMLS system this morning, the supply and demand ratios look pretty healthy in Plymouth in this price range, but are they really? Currently there are 64 homes for sale in Plymouth priced between $499-$800. There are 32 homes that are pending. That means there is roughly only a 2 month supply of houses, right? Here’s the problem:
Active homes for sale in Plymouth, MN priced between $499-$800k as of 8-8-11:
- 64 homes for sale and the year they were built
- 28 – 2011
- 2 – 2010
- 2 – 2008
- 2 – 2007
- 1 – 2000
- 29 – built prior to 2000
- 1 – 1958
- 1 – 1965
- 1 – 1993
- 1 – 2004
- 1 – 2006
- 1 – 2010
- 26 – 2011
If you own an older home in Plymouth, MN priced between $499-$800k, there is a 10 month supply of houses for sale. How do you overcome this? You need to offer a much better value proposition to the marketplace. Either spend quite a bit of money making improvements and updates or take a significant price reduction – or possibly both.
Perhaps you are hanging on to your price for good, legitimate reasons, but the market is very unforgiving. It doesn’t really care what your reasons are. Perhaps you’re getting in the way or your home selling or perhaps you’re not getting the same kind of frank and honest discussion or analysis from your agent. Either way, you need to make some changes if you want to sell. In all likelihood your agent has been telling you to get your price down or make improvements.
The market trends are still pointing to lower prices next year especially for larger, more expensive properties. We have not seen any facts yet that demonstrates the market has turned in terms of price. Homes in Plymouth priced between $200-$300k may have stopped going down in price but that doesn’t appear to be the case for upper bracket older housing stock.
If you’re currently listed, it’s time to have a real conversation with your agent regarding what must be done to sell your home. If you’re thinking of selling and want an honest and fresh opinion, please give me a call at 763-443-9821.
- Builders Association of the Twin Cities Hot Sheet – Plymouth, MN Leads Metro in Building Permits for June 2011 (johnmurphyreports.com)
- Plymouth, MN Median Home Prices Decline by 5.1% Year over Year Through June 2011 (johnmurphyreports.com)
- (Video) Northwest Plymouth, MN New Construction – Elm Creek Highlands – New Homes by Pulte (johnmurphyreports.com)
- Plymouth, MN – Is the Housing Inventory Changing? Homes for Sale Under $300,000 (johnmurphyreports.com)