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Sellers, Whose Side Are You On?

By
Industry Observer

When sellers sign a listing agreement, they indebt the listing broker  to the fiduciary duties that they deserve from us.  Often, sellers do things that help the eventual buyer gain an advantage in the sales process.  Sometimes, sellers are their own worst enemies.

I'm thinking about asking sellers to sign a statement acknowledging that they understand that certain acts or omissions by them will decrease the final price they receive and increase the time it will take to get there.  Here's my first draft of possible acknowledgments:

•1.       I understand that my asking price will define the expectations and limit the number of buyers who see my home.  An unreasonably high asking price will create unreasonable expectations from buyers.

•2.       I understand that there is a finite number of buyers who may want to see my home.  Every appointment request that I refuse will significantly limit my chance of receiving an offer, and increase the amount of time needed to sell my home. 

•3.       Every day my home is on the market is a day closer to a price reduction and/or failure to sell.  In the near term, housing data indicates that my home has a higher market value today than it will at any time during the duration of the listing agreement.  It is in my best interest to sell quickly, even if I don't absolutely have to move soon.

•4.       Buyers typically tour between four and forty homes.  My home needs to be in first place to get them to make an offer.  If its price, condition, and presentation are not number one, I will not get an offer.  Close doesn't count.

Comments and opinions welcome.

Posted by

 Mike Carlier  Lakeville, MN

 

612-916-3033

 

Mick Michaud
Distinctly Texas Lifestyle Properties, LLC Office:682/498-3107 - Granbury, TX
Your Texas Lifestyle is Here!

On the price reductions, I present a schedule of reductions in the event the property doesn't sell before the next sell-by date.  And I back that up with local market data.

That really gets them to thinking.

Nov 21, 2009 03:16 AM
Krista Wach
Re/Max Omega | Assistant Manager - Arcadia, CA

I love your idea of having sellers sign a statement acknowledging these facts. Sometimes sellers think agents are just "salespeople" looking to cash in. When in reality most agents truly care, and want their client(s) to have a satisfying experience. If you let them know before hand that these are the consequences to their actions, not only are you showing them you're experienced, educated, and prepared, but you're showing them they are still in control---something every seller wants.

Great post and good luck with your final draft.

Nov 21, 2009 03:21 AM
Barbara Linick
ERA Troy, Realtors - Hollywood Park, TX

Whether you get the Sellers to sign the statements or not, those are good statements ALL sellers should hear.  They will, conveniently, forget we ever told them unless they do sign and keep the statements, so signing would be better.  But I love the way your four statements put everything in a nutshell for the seller.  Good post!

Nov 21, 2009 04:05 AM
Charles Stallions
Charles Stallions Real Estate Services - Pensacola, FL
850-476-4494 - Pensacola, Pace or Gulf Breeze, Fl.

My sellers sign and state that the price will be reduced by 10% a month till it sells.

Dec 31, 2009 12:29 PM