The best way to learn is to teach, or... 

To blog and then read the comments...

Sometimes the comments so enhance the original blog as to increase its value exponentially.  This is the case with my latest post: Listing Agents in La-La Land...  

I've received so many great comments and I thank each and every one of you for your contribution!  A few comments were so good and actually complemented the original post so beautifully, that I just had to compile them here, so you can glean these valuable lessons.  These comments will enhance my own practice; I know they can do the same for you.

It is your fiduciary responsibility to tell them the reality of the market. Thus, if a market is going down 1% a month, pricing it at last month or the month's before sales is ridiculous.  Price it at next month's pricing or the next which may be 3-5% off of your comps.  This is one of the biggest reasons why listings in a down market take so long to sell.  They are not priced to the market; they are priced to yesterday's market. 

The problem is with the agent who is unrealistic, or tries to "buy the listing."  They will tell the seller what they want to hear . . .  You know, in their "professional opinion" that the home should be priced between $ and $ (pick a price range, for example purposes).  If it's 10% higher then the rest, they might get the listing since they are presenting a much higher price.  People are gullible, and they WANT to have direction and guidance.  And they want their price!  So when you have an agent that is NOT like you are, and from the posts, like the majority of honest agents on here -- they will give the seller a totally unreasonable listing price just to get the listing.  Might be a good idea for listing agents to caution against this type of tactic in their listing presentation!?!? 

When I got into the business almost eighteen months ago, things were just starting to get crazy and have not gotten any better.  Luckily I had a broker that educated me on comps that are active, sold and pending and letting that information tell the story to the sellers.

It's interesting to see their reactions when you show it to them in black and white.  I've even started inserting in all my Listing Agreements that if there is no activity or offers on the listing within 45 days of the signed agreement, the seller has to agree to adjust the price to market conditions.  This saves a lot of headaches and blame.

Mirela- you are one smart woman and I have been saying the same thing.  I am finding not only sellers are still unrealistic, but the lenders handing short sales and foreclosures are over-valuing properties as well.  It is going to take a long time for things to get sorted out.

I try to let the numbers speak for themselves.  Here is your current competition, here are the guys that would have been your competition but they either expired, cancelled, withdrew and or sold their properties.  How badly do you want to sell and how quickly.  Then you're going to have to price it $here. ~ Evelyn

This problem will always be with us.  Sellers do need to realize that they're wasting valuable market time while the buyers wait for their home to be priced right.  As for agents who don't get it...well, guess they won't be selling many homes!

Thank you Suzanne, Evelyn, Joan, MeLisa, Carla and Tim for your valuable input!

Sincerely - Mirela Monte, Your Myrtle Beach Real Estate Connection

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