Not fake because somebody is tampering with the numbers- but because the way the Multiple Listing Service of Greater Cincinnati (MLS) as well as other MLS systems throughout the country calculate the numbers and report statistics on things like “days on market” and “list price/ sale price ratio”.
Our local MLS “Days on Market” (DOM) is data based on the current listing only contract. A property put up for sale on September 1, 2015 where the owner dropped the first listing company/agent late January of 2016 and then relisted in early March with another company would reflect the days on the market from the latest listing and not from September. Assume the property sold in March and closed in April the “days on market” only cover the current listing and not the cumulative number of days.
The “fake numbers” continue to surface when comparing the ratio of the “List Price” versus the”Sale Price”. It’s important to know what the true for List Price/Sale Price ratio – but the MLS calculates the ratio based on the last list price in the system-not the original list price of the property. And in the current red hot local real estate market reviewing numbers on closed sales (data: MLS closings dated 4/1/16 through 4/15/16) on single family homes and you can see how the fake numbers can skew the results:
So close to 30% of the statistics are not totally accurate when it comes to looking at the real estate original list price versus sale price stats. And today’s sellers really need to know the real list to sale ratios so they don’t overprice and miss the hot market. Motivated buyers and sellers hit sites like Zillow and Realtor.com and find detailed information about days on market and changes in listing price…so thinking you can fool today’s buyers would be a mistake.
Sellers need to be aware of the list to sale price ratio and by asking the right questions you’ll find our real numbers and not the “fake numbers”. The real numbers are available if you know where to look but labor intensive and time consuming to gather all the information. Give your Realtor enough time to find the detailed information on final few properties that grab your interest.
Quick access to numbers about local real estate market- Contact