So, you want to get your house sold - like yesterday? You say, you're realistic and you know the competition is tough. And, you know there are many other sellers who all want the same thing - a buyer. Okay! But, upon listing your property, you will soon find out that there are really fewer buyers than you might have thought. And the few buyers out there have choices. As you struggle to get your property sold your goal will be to become THE seller who eventually succeeds, instead of becoming just another expired listing. So, I say to you - be competitive. Be more than realistic ...and stop crunching numbers right down to the penny.
First, it's important to look at your property in the eyes of a perspective buyer. Make repairs and improvements if you can afford to do so, or price the property accordingly. It's important to understand the one thing that cannot be changed is location - so again, price accordingly. Shop the competition to compare your property to others that are similar. Pay close attention to the condition and staging of the other properties. Then, go home and work on making your property even more superior than all the others. As you prepare your house for the market, don't stop thinking about pricing it right.
It's all about price.
Even in a bad real estate market, it's not hard to sell a house, IF the asking price reflects a bargain. Yes, what I am saying is that you may very well need to be prepared to "give away the house", especially in this type of market. With so many competing properties, serious sellers need to be, well - uh, serious about selling. I know it's hard to part ways with money, but you should no longer be eyeing home values of yesteryear - that was then and this is now. Understand that competitive pricing will at least take away some of the stress and other anxieties associated with a home sale - like hoping for the phone to ring with news of a showing and not knowing when your house will sell ...if it ever does. You may think you'll be taking a hit on price but if you're selling and buying in the same market, hopefully you could get a good deal on the purchase. Be aware that today's denial over pricing could lead to tomorrow's regrets. Prices continue to decline. You can't afford to "test" the market by starting out high with price. That is a totally wrong strategy in this market. You'll want to stop the bleeding NOW. Cut to the chase. even my own seller clients are telling ME "it is ..what it is" - referring to the market.
Just what is considered a competitive price? Perhaps you have heard of aggressive marketing. Your listing agent should be encouraging this. Of course you want an agent who is a go-getter. But, aggressive marketing doesn't mean that your listing agent will be jumping out from the bushes to flag down every car that drives by or employ the Goodyear blimp to advertise your property.
The term aggressive marketing specifically refers to price.
YOU, the seller must be realistic and keenly aware of an anticipated sales price. Leave no room to negotiate. Price your property even lower than your target price, knowing that home values continue to decline. YOU must be willing to price your house ahead of the decline. Imagine your property being on the market for months because you held out for top dollar. Now, imagine it being six months later and you are finally realizing you have to reduce your price just to be competitive. So, now months later you find out values have declined even more than from the time you initially listed your property. Ouch. Holding out for top dollar in a buyer's market when prices are falling is considered penny wise an pound foolish. Don't do it, or you'll be kicking yourself in the end.
Don't price your home to sell, but price it to trigger a "feeding frenzy" of buyers. Recognize that this is a price sensitive market and if you want buyers to swarm like flies to your property, you will need to get over trying to get your dream price. It's like being the owner of one of four gas stations on a busy four corner intersection. You must be willing to offer a price that will seduce the buying public. And, if you're lucky you will get multiple offers. Yes, it does sometimes happen still in a buyer's market, or in any market - when a property is priced right. If you can't or won't price your property at a bargain price in this market, then you are not serious about selling. I encourage you to WAIT. Discretionary sellers should wait for a less competitive market. But, there is no telling how long that will be.
You must ask yourself, not what your house is worth, but what's it worth to you to get it SOLD.
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