Sometimes things happen that some of us see and some don't. We all new the market will change from sellers to buyers and back to sellers again. How many Realtors were ready for the market to change as fast as it did. The Realtors have seen the rapid flip flop of the market and now must counsel both the buyers and more importantly the sellers of todays market. Unfortunately none of us have a crystal ball as to where the bottom of the market might be. So we must counsel our sellers that price is of the utmost priority in todays market. If the market continues to grow in inventory as it has had over the last 12 months then sellers must decide on where they want to be price-wise. Here are some placings.
1. Price at market, use comps and solds in the area. ( seller wants to sell but doesn't have a lot of motivation)
2. Watch the market and see if any homes are selling, if home priced less sells then lower the price of their property. ( Motivated seller trying to get as much as possible for their home and follows the market down but seems to be just out of the showing range)
3. Be priced at the lower end of the price range for your area and home size. (Seller is motivated and wants to beat the price reductions first and not follow the market.)
Counseling our buyers, Now remember a lot of sellers got caught in the incredible prices of the prior 18 months and just couldn't believe that the market was turning. Some of those sellers lost, took property off market or sold jsut in time. Well now the buyers must analyze what is happening. Of course buyers want to get the best deal out there. We need to guide them in the direction of what there goal is keep a diligent eye on the ups and downs as it could change just as fast back to a sellers market. So we must help the buyer find the property and counsel them on how to price an offer for their deal. Make sure you ask your buyer some prudent questions like these;
1. If we find a home that you just love are you ready to make an offer today?
2. We have found the home you want, now here are the comps in the area and the market does seem to be on a downward trend , so what would it take for you to make an offer today? Where do you want to be on your price?
Buyers are now in a position to ask for seller participation in closing and mortgage costs. Ask for them!
The time of putting a sign up and having buyers fight over the homes are long past, We as Realtors must work harder to earn our money.
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