1. Is Your Home Overpriced?
The fact is, buyers -- not sellers -- ultimately determine the market value of
a home. You can ask whatever you want to, even if it well above comparable
properties in your neighborhood, but at some point it will be up to you, the
seller, to accept what the buyer thinks your home is worth.
Overpricing is the most common marketing mistake and the
number one reason homes don’t sell. When you ask an unrealistic price, it sets
in motion a process that often works against you. Here's why:- Most real estate agents, and hence the best and most qualified buyers, will see your new listing within 30 days. If it is overpriced by as little as 5-10 percent, it will be duly noted and interest in your property will wane, especially if you show no intention of coming off your asking price. You likely already priced out buyers who might have qualified for financing at a more reasonable price. Even if you manage to find a buyer at your inflated listing price, the property may not appraise at that figure and the financing will fall apart.
- Sometimes real estate agents approve or even suggest an inflated asking price to secure your listing. We call that “buying your listing”. Conversely, other real estate agent often use overpriced properties in the neighborhood to sell their own listings ("Here's what they are asking. Now would you like to take a second look at that first house I showed you?")
- If you have a house that really should be priced at $300,000 and you've got it listed at $360,000, you are trying to compete against homes that really are worth close to $400,000 and all of a sudden your home really is not competing well. It is in your best interest to compete with what is available out there among properties comparable to yours.If your home remains on the market for too long, agents and buyers may begin to wonder if there are other, perhaps more serious reasons why it isn't selling.
- It can become shopworn, the same as an outfit hanging in the window of a department store week after week.
2. Does your home “Show Well”?
Your home may be competing against new builder houses in those pristine
subdivisions out in the suburbs with their attractive prices, incentives and
community amenities. Even the best old house needs a little makeover if it
hopes to attract a qualified buyer.
The good news is most of the work will be cosmetic and
relatively inexpensive: a new coat of paint, a few attractive window boxes, a
thorough cleaning of carpets and windows.
The place may look good enough to reconsider.
Price and condition are two things that the seller can do
something about. We can advise you on where your time and money are best spent.
3. Location, Location, Location. Are you in a bad location?
Nothing has a greater impact on your home's value than its location. It can be good or bad. If you're in one of the higher-ranked
schools, added value is built in. The
point is, location rules in real estate.
If your home's location is less than desirable, your options are
somewhat limited. We can help you
accentuate the positive and eliminate the negative of your circumstances, say
by using foliage to screen off offensive adjoining properties or dampen traffic
noise.
The best way to compensate for a poor location is to reduce
your asking price or offer attractive incentives such as seller financing or a
lease option with rent credit.
4. Do You Have the Wrong Agent?
Bad agents exist: Real estate agents who mislead, misfire and misbehave.
Their bad advice can cost you plenty in time, money and the
sheer hassle of keeping the place show-ready 7 days a week.
The agent from hell will allow you to overprice your home, not
market it properly, fail to screen for qualified buyers, be unresponsive to
interest from other agents and keep you totally in the dark throughout the
process.
The biggest offender is the agent who is abrasive, arrogant
or otherwise difficult to work with. Cooperating agents may not want the hassle
of showing those listings to their prospective buyers.
5. Are You are Battling Competition or Market Conditions.
If you're trying to sell in a flat market, you're not only competing against all that vacant new construction, but against rentals as well. In this case, be prepared to settle for less than top dollar, or wait to sell until the pendulum swings once again in your favor.
We've all heard the terms "buyer's market" and "seller's
market." In real estate, market conditions are affected by any number of
external forces, some of them predictable (the weather, sort of), some of them
unpredictable (the local economy, interest rates, public optimism or
pessimism).
In a "hot" or seller's market, homes go fast.
Inventory (homes on the market) may be low, meaning less competition for you.
Chances are better that you will get your asking price in a hot market; in
fact, it is not uncommon to even be offered more than your listing price.
But in a "flat," "cold" or buyer's
market, sales slow to a trickle, inventories grow and buyers can find bargains,
especially when they know the seller is motivated (i.e., paying on two
mortgages).If you're trying to sell in a flat market, you're not only competing against all that vacant new construction, but against rentals as well. In this case, be prepared to settle for less than top dollar, or wait to sell until the pendulum swings once again in your favor.
6. Are You a Victim of Ineffective Marketing?
Gone are the days when an agent could simply place your listing with the local
multiple listing service and wait for another agent to bring a buyer.
Computers and the Internet have changed the face of real
estate. According to the National Association of Realtors, today more than 85%
of all home buyers start their home-search on-line. We are computer-savvy. We immediately launch a multi-tiered
marketing plan that includes internet platforms, social media, direct mail, open
houses, listing fliers that doesn’t stop until your home is sold.
Call us today. 44Realty Corporation is Southern California’s leader in independent real estate services, delivering an exceptional experience to our customers. We handle standard real estate sales, probate real estate and trust transactions, short sales, divorces, REO and bank owned properties.
Call us today. 44Realty Corporation is Southern California’s leader in independent real estate services, delivering an exceptional experience to our customers. We handle standard real estate sales, probate real estate and trust transactions, short sales, divorces, REO and bank owned properties.
We have a clear vision of who we are and what we want to do for our clients, ourselves, and the world we share. While the focus of that vision is helping people buy and sell their homes, the scope is far greater. No other real estate team can offer you this level of personal attention, powerful resources and proven skills.
It would be our pleasure to assist you in your next Southern California real estate transaction.
Richard Kirchnavy, California Real Estate Broker Cal BRE 01016593
Janine Kirchnavy, California Real Estate Broker CalBRE 01048899
(909) 945-3662
44Realty Corporation
1425 W Foothill Blvd #237
Upland CA 91786
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