The other day I heard as justification for a low offer "They bought at the Peak of the market, prices have dropped since then, we have stats to prove it. Our offer is a fair offer." The agent was implying that because the home owner purchased in 2006/ 2007, which was a sellers market and the increases seen during that period are seen as the "peak" that they should accept a lower price than what they paid.
There is a belief, or more so an expectation, that prices are falling and that Sellers should be happy with Any Offer. No question with higher supply than demand that price declines. That's what economics tells us. High demand = High Price. Low Demand = Lower Price.
Fact, the Median Sales Price Trend from the "peak" looks like this:
The "median" is the "middle" value in the list of numbers. It tells us the price point at around which most buyers are purchasing. The Media sale price today is: $313,000 compared to the peak of $341,500 in July of 2015.
An average is the sum of a list of numbers divided by the number of numbers in the list. The average today is: $334,859 compared to the peak of $359,803 in August 2015. Yes less than a year go.
What can we tell from Averages and Median sale prices? Its a reflection of activity. It doesn't tell you whether YOUR house is now worth much more or worth much less.
To determine whether your house is up compared to when you bought it, or if you sell will you get the amount you need or desire, You should consult with your Century 21 Advantage Real Estate Associate. Applying blanket assumptions to every area, and type of housing just doesn't work.