Homebuyers in Pittsfield paid 5.5 percent, or $15,624, less than the asking price for a home in August, making it the city with the most negotiating power in the state and among the top 25 places nationwide to strike a deal, according to online mortgage tracker Zillow.

A recent analysis found homebuyers nationwide are still paying thousands of dollars below a home’s asking price, but had slightly less negotiating power in August than in July.

Buyers paid a median $6,525, or 3 percent, less than the last listing price on homes bought in August, down from $7,018, or 3.3 percent, less for homes bought in July, Zillow said.

Negotiating power peaked in January 2009, when buyers were paying 4.5 percent less than last listing price, a median of $10,096.

Meanwhile, sellers continue to cut prices on unsold homes. Nearly one quarter, or 24.7 percent, of all homes listed for sale on Zillow had at least one listing price reduction as of Oct. 1. The median U.S. price reduction was 6.6 percent off the original listing price.

Florida homebuyers in August again had the most negotiating power, with buyers in Vero Beach, Fla., paying 8.9 percent, or a median $20,974, less than the last listing price.

But in two California markets, buyers paid more than the asking price during August. In El Centro, Calif., buyers paid 2.2 percent, or a median $2,479, more than the last asking price. In Stockton, Calif., buyers paid 1.3 percent, or $2,515, more.

"Negotiating power is a clear reflection of inventory levels, which dropped nationally in August. Tighter supply in some markets is translating into less of a discount off listing price," said Zillow Chief Economist Dr. Stan Humphries. "Unfortunately, the brisk spring and summer home shopping season is drawing to a close now, and with foreclosures on the rise again, inventory levels will likely head back up in the coming months, leading buyers’ negotiating power to regain the ground it lost in August."

 

Pittsfield Homebuyers Among The Top Market For Price Negotiations

by Banker & Tradesman time to read: 1 min
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