Auction, short sales, and foreclosures all exert pressure.
Interesting development- I had a gorgeous listing that sat on the market for a while, and recently sold for what I would suggest was a really really good price. A strong showing ability, layout, & amenities, coupled with low condo fees and low taxes might have suggested that this unit sold under its value.
However, in the Philadelphia condo marketplace of 2010, the price was spot-on. The seller recognized the effects that outside forces have played on the local condo market, and therefore acted accordingly. She signed the buyers highest and best offer. With the onslaught of a handful of weakened sellers hobbling around the auction blocks, and banks selectively underscoring a trend in pricing with a foreclosure here and there, pricing a Philadelphia condominium is of utmost importance.
The year is not 2007, and prices are not where they were at one time. Though Philly has fared well in comparison to other large cities across the USA, it would be folly to believe that values have not fallen in the past few years. The bottom line is that if your condo is priced well, it should sell well.
Prudential Fox and Roach REALTORS®
530 Walnut St., Suite 260 Philadelphia, PA 19106