If you've got to sell, one theory is that you've got to move the price enough to convince buyers you're flexible. Certainly, 2807 Elm
The movement on Elm, a new home that only entered our glutted $2m+ segment in the Tree Section in late June, was stunning. It went from dramatically overpriced at $2.899m
, down, down, down in $100k chunks, to $2.299m
Now it has closed escrow at $2,100,000
, fully $799k down (-28%)
from start, an extra $199k off the last (reduced) list price.
This officialy makes 2807 Elm a winner of the "race" toward prices around $2.1m we saw developing in October (see "The Race to $2.1m, and Then...
") – noteworthy at the time because previous clustering of comparable listings had been around $2.3m instead.
Man, did they unload this puppy. Though it wasn't super-quick (139 DOM), by comparison with other new construction, this sale happened in a flash.
2807 Elm boasts 5br/5ba, 3550 sq. ft., on a larger-than-normal 5600 sq. ft. lot that afforded a quite decent back yard. In our tour, MBC found the home charming and a bit unique. We must concede that we've received some private feedback that wasn't so positive, but we loved it and we've said so.
Now look at something else: 2807 Elm's price per square foot
. We haven't recorded a PPSF less than $650 since June in this segment, and mostly you see $730+.
No question, this sale has ramifications. We'll return to this with more analysis later in the week.