I originally posted this on my blog. I know this seller would appeciate your insight and I'll keep you updated. She's checking her post on my blog for your insights so I know she'd appreciate your thoughts there (points not withstanding). http://www.whydidntmyhomesell.com/questions/advice-to-a-struggling-seller/ I've given her my ideas but AR has so much to offer I thought I'd extend her question to eveyone.
Hi,
Your 'about this site' said you would like to hear from sellers who are struggling. Here's my story.
I am building a new home, so I HAVE to sell (technically I qualify for both mortgages, but it's not exactly something I can do for any length of time). My current home has been listed for 120 days, with an agent. We have had about 6 private showings, and dozens of open houses with ZERO traffic and zero offers.
My agent says that all the other agents are experiencing the same thing. My home is unique in the area, so comparables are difficult (it's rare to find a 2nd bath and a 2 car garage in the area). My agent did a market analysis and has never indicated that he thinks my price is too high. We reduced the price last week from $123,900 to $119,900 and still getting no traffic. My home is "move in ready", with new laminate flooring, no repairs needs (sic), I have "de-personalized" and "de-cluttered". We are in the local newspaper on the front page of the Homes section every week, we are on the Duluth Area Association of Realtors MLS, the local Coldwell Banker website, the national Coldwell Banker website, and I also put regular ads on craigslist as well as hanging flyers around my work. What else can i do?!?! We are scheduled to move into the new house on 11/1/08, and the current home will then be vacant and unfurnished.
Melissa, you are not alone in your frustration. As your agent said, many sellers are struggling to get their home sold. As much as it may comfort you to hear that you are not alone, it really confirms that you must do something different to set yourself apart. Let's talk about marketing, staging, timing, and price.
Marketing: It sounds like you have some great exposure. In my Southern California market, newspapers rarely work and I would suspect that's true in your area as well. It's great exposure, yet more and more buyers that are serious spend their time online. You have some great marketing online, but is it enough? Here are some other ideas:
- Individual website for your property (If your agent needs a resource for this, I have a good one). Rather than flyers at your office, send a link to your own property website via email to friends that they could potential forward to their own friends and family. Look how often people forward you emails. This can be very effective.
- Are you on all the high traffic home search engines? Zillow, Trulia, Realtor.com (fully enhanced with quality description and your agent's contact info).
- Photos could use some improvement. I'd rather see your agent invest in a photographer than newspaper advertising. The baby's room is great - but many of the shots almost appear to be looking at the floor. I'd definitely get it reshot prior to your move.
Staging: You've done such a great job of decluttering, it almost looks bare. Revisit your dining room shot and the baby's room shot. The baby's room looks warm and inviting. The dining room looks cold and empty. I'd reshoot that photo with the table set, the drapes open, and a plant in the corner. Warm up the space. Look at your photos through the eyes of a potential buyer. Do they excited you? Invite you?
Timing: Timing is critical when selling a home. Right now you are facing some challenges due to the market conditions and consumer uncertainty with the coming election. I suspect you also have local conditions that will soon play a role, the weather for example, as well as the local buying cycle. You have your personal timing and your upcoming move that is impacting your sale. Because you are facing some real negatives in terms of timing, this has to play a role in some of the decisions you are facing.
Pricing: You mentioned the comparables are a challenge due to the uniqueness of your home. With 6 showings in 120 days, I would say that the market is telling you something. Your home may be worth $120,000 if the timing was different. But based on the timing and the traffic, I'd say another price reduction is clearly in order. This can be a tough pill to swallow but you are facing some tough choices either way.
Remember, buyer's motivation today is about finding a good deal. They see the news and read the paper. Potential buyers are nervous and reluctant. What inspires them to take the leap in times of uncertainty is a good deal. It's not enough to be priced at fair market value.
Have you considered renting the property? If you don't want to reduce the price (or can't), it might be time to think about renting it out. These are tough choices. Being a landlord has it's own inherent risks and considerations. If you do rent it out, try to have the lease expire in the Spring when the timing serves you to list it for sale again.
I would act with a sense of urgency on all the different areas that you can improve upon. Have a heart-to-heart with your agent. Communicate with him and together, you can get your home sold.
Agents - have I missed anything? I know Melissa would appreciate any additional insight and help.
Originally Posted On www.WhyDidntMyHomeSell.com
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