Comparing February average sales prices

The chart below represent the February average sales price of 3 bedroom homes in the greater Knoxville, Tennessee area for the past 10 years.

As you can see average sales prices started accelerating in 2003 building to a peak in 2007. In February of 2007 that represented a total of 645 3 beroom homes sold and closed.

In February 2009 we had a total of 342 3 bedroom homes sold, or 46.9% fewer than 2007.

It appears the average days on market (that's time from listing to closing) has risen pretty steeply since last February as well rising from 100 days in February of 2008 to 120 days this just past February.

After reviewing these numbers it appears that if you have a home in the Knoxville area you need to sell, there are 3 things you probably need to do to ensure your house stands out from the crowd and attracts a serious buyer:

1. Aggressive pricing, priced at or lower than comparable sales in the past 3 months.
   
2. "Move in" condition; replace worn carpeting or offer an allowance, fresh paint, replace dated lighting fixtures, and a thorough and deep cleaning to make it spotless.
   
3. Buyer incentives, typically offering to pay some of buyer's buying costs. Figure on 3 to 6% of the sale price for incentives.