Seller’s want to sell! Every sale is the result of a unique set of buyer and seller personalities and some of the fundamentals of the Real Estate Market. The real estate market is as close to a pure free market system as you will find in America. The product is your home/condominium, the seller sets the initial price and the agent provides the marketing and negations.
The number one question I receive from my listing clients is “why hasn’t my home sold? The research has shown that there are five main reasons why real estate doesn't sell in a timely manner. They are price, condition of the property, location, the listing agent, and the effectiveness of the marketing System. Let's take a look at each of these individually.
1. Price; The asking price is critical to attract potential buyers
Every home will sell if the price is right. Nothing else matters if the dollars are low enough. So if a house is overpriced, it will most likely be overlooked. Naturally the price is determined by the size, condition, location and competition of other homes for sale. Even though there are many considerations when setting the price for your home, in the end houses that are priced right sell better than houses priced above the market. Believe me, buyers are doing their homework and comparison shopping for the best deals. A home's value can be like the stock market, although it may have been worth more or less previously, it is worth exactly what it will bring in today's market. How did you arrive at your price? There are agents who will quote a higher price to “win” a listing only to reduce the price at a later time. This will usually lead to a longer sales process and a lower actual sale price. An agent that recommends a higher price is not a better agent if his analysis is not correct! An agent who does a thorough and complete comparative market analysis and can explain his rationale is essential because getting the price “Right” is critical to success.
This is the area that the Seller has complete control over. So, owners check your motivation; If you are not motivated to sell, you are not a seller. You're a home owner with a sign in the yard. I completely understand that sellers want top dollar for their property but you must be realistic! To find out how much your property is worth click here.
2. Condition of property; Let’s have the property ready to sell!
Buyers are looking for model home conditions and with so many homes available, the competition for buyers is incredible. Make your home "buyer ready" by keeping everything clean and orderly; include some fresh paint and professional carpet cleaning. Buyers want to be able to move right in without having to accomplish a long to-do list first. I have helped many of my clients’ make smart improvements that have helped them sell and for more money. Sometimes, a minor change can make you some real money. (Hint: Paint is the seller’s best friend)
3. Location; Accent the positive
The third reason a house may not sell in a timely manner is location. Northern Michigan is one of the most beautiful areas in the country! 4 seasons with every time of year bringing something special! Spring, summer, fall and winter, every season is unique; Lakes, rivers, golf, skiing, hiking, biking, fishing etc. Some locations are more challenging than others but it is important to find the positive aspects of your location. Every home’s location has some general and unique positive factors that will help sell your home. It’s my job to understand and market those positive factors with people that are looking to make a buying decision.
4. Listing Agent; You deserve an agent who will do the job!
If the listing agent hasn't done their job (i.e. advertised the property, good photos, attractive description retuned all calls in a timely manner, followed up on all leads, etc.) then maybe the listing agent could be the problem. You should expect an agent dedicated to successfully selling the home. An agent that is willing to prepare marketing materials, has a internet marketing strategy, conducts open houses, works office floor time, lead generation and follow up. I advise everyone to select a full time, dedicated agent that is active in the market with a track record of success. Unfortunately, there are too many people that are playing at real estate and under-serving their clients’ needs.
5. Marketing; Your property advertised everywhere!
No longer can an agent take a listing, put a sign in the yard, place the property in the MLS and wait for the offers to come pouring in. People must know your house is for sale and that it is priced to sell. Simply putting the listing on the internet and hoping the public and other real estate agents find it is not enough for the money you pay to your listing agent. Even homes that are priced right often do not sell in this market because of poor marketing!
I n this “buyers market”, there is a large inventory of homes and condominiums available for sale. Therefore, it is critical to implement a Comprehensive Marketing System focused on Internet marketing combined with traditional marketing strategies such as signs, floor time, open houses, mailings, newspaper ads, etc. Market your property in to the broadest possible audience of buyers. Even though, you can’t hold an open house for your property every weekend, you can make it available 365/7/24. Over 80% of buyers are looking on the internet and want photos and virtual tours of properties for their search. Research shows that many people will just click past your listing if there aren’t finding the information they need. Your home must absolutely be on Realtor.com, Trulia.com, your realtors web site and the local MLS.