Finally, after two years, the house sold last week. Phew. Never thought the day would come. I first listed the house in May 2009 for about 6 months, then again in March 2010. Finally got a contract together in November 2010 and it closed last week. This is a 3 story, 4 bedroom, 3.1 bath home in a very desirable part of Kansas City. What took so long? My sellers and I learned some important lessons during the process..here are my thoughts.
1. Sellers bought at the top of the market and paid too much. They admitted they worked with an agent that didn't know this area. Lesson: Be sure you have an agent that knows the area you want to buy in, especially if it's an older area of the city.
2. Buyers are pickier than they have ever been. Feedback comments from showings included reasonable objections (yard too small--can't change that) to petty gripes (creaky hardwood floors--typical of an older home). Lesson: Have a conversation with your buyers about what to expect in an older home--what are they willing to give up for the charm and character of a 90 year old home?
3. Larger homes are seen as too much work. Many, many 55+ couples came through on showings and open houses, wanting to downsize to a smaller home in a walkable neighborhood. They view a 3 story home as too much work to maintain and having higher utility costs. Also, their larger suburban homes were on the market but not selling. Lesson: There's a growing market for the older boomers who want to downsize but want a home that's updated and relatively easy to maintain, close to amenities. Buyers now wait until their current house sells before they buy the next one--few are willing to take on two house payments.
4. Pricing is extremely important if the house isn't HGTV perfect. When this house was initially priced, it was an aggressive figure. We lowered it a couple of times that first year, knowing that the amount of space and location justified the price. But the market had fallen too much, the house didn't show like other comparable homes and the sellers didn't have the money to spend thousands of dollars in fix up and decor. The home eventually sold for much less than expected,and the sellers lost several thousand dollars and experienced a lot of stress. Lesson: It doesn't matter what you think the house is worth, or what the sellers think it's worth--in this recession-racked market, buyers expect to pay much less if the house isn't darn near perfect.
Happily, this house sold to someone who fell in love with it the first time she walked through it. She was willing to overlook the flaws and decor, seeing the potential in the space and wanting a larger home for roommates. The sellers bought a smaller home in the location they want. All turned out well. Even though it took two years to sell this house, I learned a few lessons that will help me with future buyers and sellers. I think we learn something from every deal we do...at times, this one felt like earning a four year degree!
Thanks for reading my blog--you can reach me at mary.hutchison@prukc.com .
Comments(2)