The Price Is Right!! (Finally!)

By
Real Estate Broker/Owner with Christiansen Group Realty (260)704-0843
http://actvra.in/ygt

 

Last night we went to a listing appointment.  This home has been on the market in Fort Wayne for over a year with two different Realtors®.  

Here's the story.  

Realtor® #1.  She came in with both guns a blazin!  She told the sellers what they wanted to hear, and promised to sell their home within two weeks.  She priced it at approximately 20% over true market value, and it sat for six months.  

Realtor® #2.  She came in and was also very confident she could sell this home quickly.  She was a little more realistic than the first Realtor®, but still priced it around 12-15% over market value.  Guess what?  It sat again for another six months.  

Realtors® #3 (Us).  After Amanda and I both ran a CMA, we agreed on the price point we thought it should be listed to sell.  We weren't really looking forward to telling the sellers this.  

After a lengthy discussion and a few uncomfortable moments, the sellers agreed to price it where it would sell.  They weren't happy with what we told them (and who could blame them??), but we aren't going to go in there and tell them want they want to hear just so we can get the listing.  We would rather tell them straight up and either list it to sell, or not list it at all.  

Even though the real estate market in Fort Wayne is currently a seller's market, you still need to price your home realistically.  

Let's say that you do list it high and are fortunate enough to have a buyer that agrees to pay that price.  Good deal, right?  Wrong.

When the appraiser looks at the market, they are going to see that the home is over priced, and he or she is going to appraise it for market value, not listed value.  Then what?  

Just a few tips about pricing your home correctly.  

 

 

Posted by

 

 

   

Fort Wayne Realtors Jared and Amanda Christiansen with Century 21 Bradley

Amanda Christiansen is an award winning Realtor with Christiansen Group Realty.

 

Jared Christiansen is a business partner and in charge of marketing and taking care of things behind the scene.

 

Enough about us...

 

Tell us what you want your real estate experience to be, and we will do it YOUR way.

 

Buying a home in Fort Wayne? Tell us your wants and needs. Let us know how you envision your family living.  Tell us what's important to YOU, and we'll find the community and home that fits.  

 

Selling your home in Fort Wayne?  Our job is to make you the most money possible in the shortest amount of time. We offer our sellers professional staging, professional photography, and more internet marketing than most. 

 

We are committed to giving you everything we have to offer.  We are both full time agents and will work around your schedule.  Do nights and weekends work better for you?  NO PROBLEM. We are here to help YOU at YOUR convenience.

 

Amanda can be reached at 260-704-0843, and Jared can be reached at 260-704-0842, or you can email us at JaredChristiansen@gmail.com, or Amanda427@gmail.com.

 

 

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Re-Blogged 1 time:

Re-Blogged By Re-Blogged At
  1. Gene Riemenschneider 03/31/2012 01:30 PM
Topic:
Home Selling
Location:
Indiana Allen County Fort Wayne
Groups:
Real Estate Rookie
Diary of a Realtor
Addicted to Active Rain
Bananatude
Bartender, Make it a Double
Tags:
selling a home in fort wayne
fort wayne listing agents
need a realtor in fort wayne
fort wayne century 21 agents

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Rainer
35,360
Jack Snyder
Loan Officer in Orange County for Omni-Fund Inc. - San Clemente, CA
Loan Officer, San Clemente, Orange County, Califor

Good show Jared,

What's the use taking a listing that isn't going to sell. After all, you are the professional and who best to determine the right price.

Good lesson for others.

~Jack

Mar 31, 2012 07:02 AM #73
Rainmaker
344,047
Travis "the SOLD man" Parker; Associate Broker
Team Linda Simmons, Enterprise, AL 36330 - Enterprise, AL
email: Travis@theSOLDman.me / cell: 334-494-7846

As Bob said, the FIRST few Realtors have done my Heavy Lifting for me - by now, USUALLY the Seller realizes that SOMETHING is wrong and are starting to get the idea that it MAY just be the PRICE. All I have to do is re-affirm their suspicions and I'm the Good Guy, even with the bad news

.

Mar 31, 2012 07:11 AM #74
Rainer
64,802
Rosalie Frankel
Dominion Real Estate Partners - Cave Creek, AZ

Excellent! Wonder when sellers will actually admit the realtor MAY know more than they do about the market?

Mar 31, 2012 11:13 AM #75
Rainmaker
400,261
John Cannata
214-728-0449 http://TexasLoanGuy.com - Frisco, TX
Texas Home Mortgage - Purchase or Refinance

I think thats where some agents shoot themselves in the foot. They take the listing even though they know its never going to sell at that price point. Kudos to you two for telling the sellers like it is. The market is the market... cant change it just because someone 'thinks' their house is worth more.

Mar 31, 2012 12:07 PM #76
Rainmaker
1,427,186
Gene Riemenschneider
Home Point Real Estate - Brentwood, CA
Turning Houses into Homes

Great post.  I have had Listings bought by other agents after I have told the truth.  

Mar 31, 2012 12:49 PM #77
Rainer
144,352
Ranji Singh
Century 21 Heritage Group Ltd. - Newmarket, ON

You have done right - with the help of your CMA you helped them closer to the market's truth. And this is what professionals do. Great post!

 

Cheers.

Mar 31, 2012 01:13 PM #78
Ambassador
2,767,214
Bob Crane
Woodland Management Service - Stevens Point, WI
Forestland Experts! 715-204-9671

Congratulations on having the guts to do what is right rather than what is popular.  Much better to have a disappointed client now than a very upset client after wasting a year of their life and all the expenses of holding the property for another year, not to mention all the expenses of marketing a home that will never sell.

Mar 31, 2012 01:37 PM #79
Rainer
43,692
Nancy Middleton
Counselor Realty, Inc. - Excelsior, MN
Nancy Middleton, Counselor Realty, Minnetonka, MN

Jared and Amanda:  Good for you to tell the truth regarding the listing price that you've recommended. I always say I can't be dishonest about a price,and I would be doing a huge disservice to the sellers and all the agents and prospective buyers if I didn't tell the truth. I would feel I was misrepresenting the price based on my educated research, and would honesty loose my enthusiasm and excitment about presenting the property in a way that would bring buyers and agents to feel positive and see the true value in the home.  Good luck to you.

Nancy Middleton, Realtor, CRS, ePRO, GRI, CDPE, Keller Williams Realty, Lake Minnetonka, MN
612-280-1975 - nancy@nancymiddleton.com

Mar 31, 2012 01:41 PM #80
Rainer
30,267
Peter Michelbach
International, IT
i Sell Real Estate

Jared,

 

Thanks for sharing ~ liked all inspirational comments, especially the analytical memos shared by Beverly #61. Excellent!

Mar 31, 2012 09:46 PM #81
Rainer
232,112
Pamela Smith
Award Realty - Sun City West, AZ
Sun City West, Corte Bella, Sun City Grand

I have found that it is better to be honest with the potential client.  You can still bring a buyer.

Mar 31, 2012 11:22 PM #82
Rainer
143,445
Sylvia Jonathan
Coldwell Banker Platinum Properties - Irvine, CA
Broker Associate, SFR

Sometimes it's easier to tell the seller the anticipated price but difficult to tell them WHY. How do you tell a seller tactfully that their house is a mess and smells? I find myself tap dancing when faced with that scenario because I am a very direct person and have to "hold back" a bit in the delivery.

Mar 31, 2012 11:28 PM #83
Rainer
346,529
Dörte Engel
RE/MAX Leading Edge - Bowie, MD
ABC - Annapolis, Bowie, Crofton

Dear Jared,

It takes some people a while to come to grips with reality, regardless of what you say to them. Lucky for you, they were finally ready to listen to your honest assessment.

Mar 31, 2012 11:52 PM #84
Rainer
36,340
Ken Anderson
Apex Results Realty Inc., Brokerage - Burlington, ON
Broker in Burlington, Ontario

Agent #1 -  Had the price right...just forgot to take the listing for 5 years.

Agent #2 -  Had the price right...just forgot to learn from Agent #1

Agent #3 -  Had the price right...remembered not to want the listing for 5 years, learned from Agent #2

 

Seller:  None of them cared if the house sold or not, just wanted the listing.  They all had the price right from the start, forgot to let us in on it, till now. Okay, we gave in, let's see if they can sell the damn house!

Apr 01, 2012 03:34 AM #85
Rainer
60,455
Maureen Christiansen
Coldwell Banker Honig-Bell - Geneva, IL
Fox Valley Professional
The truth will set you free! No sugar coating, just straight data and education. Not all sellers like what they hear but many will appreciate your honesty and integrity.
Apr 01, 2012 05:40 AM #86
Ambassador
1,166,248
Amanda Christiansen
Christiansen Group Realty (260)704-0843 - Fort Wayne, IN
Christiansen Group Realty

Way back in the day we would take anything we could.  Today we take what we can sell.  

Thank you all for your comments, your opinions, and your knowledge.  We are still young in this game and are always learning.  Thanks for being a part of it!!  

Apr 01, 2012 09:12 AM #87
Rainmaker
3,423,140
Gita Bantwal
RE/MAX Centre Realtors - Warwick, PA
REALTOR,ABR,CRS,SRES,GRI - Bucks County & Philadel

Congratulations on the featured post. Good advice to price it right.

Apr 01, 2012 11:35 PM #88
Rainmaker
379,074
Jean-Paul Peron
The Outer Banks Real Estate Copmpany - Corolla, NC
Carova Beach - Living & Working in 4-Wheel Drive

I was told early on in me Real Estate Carreer that "It a house in not getting showings, it's either price or commission. If it's getting showings but no offers, it;s either price or condition". I have found this to help me in a lot of my listing decisions.

Apr 05, 2012 08:38 PM #89
Rainmaker
461,101
Sylvie Stuart
Realty One Group Mountain Desert 928-600-2765 - Flagstaff, AZ
Home Buying, Home Selling and Investment - Flagsta

Congrats on getting them to come to a price that will get their home sold for them! We have to be brutally honest in this market, and that can be tough at times, but we have to be honest and upfront about what the market is doing, it does not benefit them to pretend it will work if it won't.

Apr 06, 2012 11:43 PM #90
Rainer
298,498
Steven Pahl
Keller Williams Tampa Properties - Tampa, FL
Real Estate Consultant Tampa, FL 813-319-6423

Unfortunately for the sellers, the two listing agents probably picked up one or more buyers along the way so they made sales while the listing sat with no offers!

Apr 22, 2012 08:45 AM #91
Rainer
111,588
Caprice Couselle Realtor Morristown Homes For Sale
Keller Williams Realty - Morristown, NJ
First Time Home Buyers,Relocation,Horse Farms

Hi Amanda and Jared,

 

Good for you. The sellers finally recognized the voice of reason. I had and seen listings where  the seller is just chasing the market  down. Each time it comes on as a new listing. The seller lowers it , But not enough. Not to market price.

Caprice Couselle

Nov 09, 2013 09:47 AM #92
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