The long-awaited end of the frenetic and unsustainable real estate market is a relief for buyers who have been waiting for the market to cool down, but for sellers, especially those who are reluctant to move quickly.

“I have a seller who won’t lower their price because I think they don’t understand where the market is going right now,” said Dawn Hulf, a Las Vegas real estate agent. Another seller stood on the sidelines and waited, trying to time the peak of the market. “They took six weeks to prepare the house for sale and lost the boat.”

Thanks to price gouging, high interest rates, general inflation and evidence of a recession, the days of multiple deals asking buyers willing to forgo inspections and appraisals are gone.

Las Vegas realtors say supply is up 134 percent from a year ago. The median home price in Las Vegas fell in June for the first time in two years, from $482,000 in May to $480,000. This is still up 21.5% from $395,000 a year ago.

The party may be over, but for some sellers, the hang-up is tough with one goal in mind – maximizing their returns.

“We see a lot of sellers motivated by greed, for lack of a better word,” says Las Vegas promoter Diane Varney.

Varney said a quarter of listings in southern Nevada have reduced prices.

“A salesperson should be motivated by something other than price. Las Vegas inventory is about four times what it was in March,” she said. “I show them the statistics and explain the laws of supply and demand.”

“If you’re getting shows and no discounts, you’re roughly 5% overpriced. If you have no shows and no offers, you are roughly 10% overpriced. “We’re in a ‘no rules’ era where we’ve seen property prices rise 25% to 35% in the last 24 months.”

In Reno, where the median home price in June was $677,500, 32.6 percent of listings had a price drop that month, according to Realtor.com. It is counted Reno First in Nation to Reduce Home Prices.

“Valuing your home right from the get-go is key. I’m seeing price reductions of over 20 percent right now,” said Sarah Scatini, president of the Reno Sparks Association of Realtors. Motivated sellers can be more realistic.

Scatini agrees with Renault’s rating because the price cut shows the high-end market is one of the most overvalued in the US.

He said prices in markets that were at their peak at the time of the outbreak are being hit hard.

“With the exception of Sacramento, CA (No. 7) and Colorado Springs, CO (No. 8), eight of the 10 major metropolitan areas with the largest price declines have experienced significant appreciation in the COVID-19 pandemic year to date (March 2020). – June 2022) is up 26.2 percent over the national average over the same period,” says Realtor.com.

“These are also markets that have experienced rapid price increases,” said Realtor.com senior economist George Ratieu.

Nationally, listings increased 18.7% from a year ago in June, according to Realtor.com, while 14.9% of listings reduced their listing prices, compared to 7.6% a year ago.

Varney predicts that the level of real estate agents that have been swelling in recent years will slow down as the market improves and deals stop “resting in their laps.”

About 3 million people hold real estate licenses in the U.S., according to the Association of Real Estate Licensed Officials. The number of agents fell by more than 140,000 from 2007 to 2008, according to the National Association of Realtors.

“We’re going to see out-of-season agents who don’t have the skills or longevity to leave the market,” Varney said, adding that survivors of the Great Recession will be better equipped to navigate the changing landscape of the market.

As interest rates rise, So-called creative financing, popular before the housing bubble burst in 2007, is making a comeback.

“There’s something we call a bank statement loan, where all they have to do is submit their bank statement and have a 650 or 680 FICO score,” Half says. But this is at high interest rates. Instead of paying five and a half or six, you’re looking at seven, seven and a half percent.

Adjustable installment mortgages (ARMs) were popular with predatory lending practices before the Great Depression and have fallen out of favor. They are now back.