Focus on the BIG PICTURE. How to sell your home in Franklin TN.

By
Real Estate Agent with Stamps Realty

While there are many things you can do to help sell your home in Franklin, TN (staging, pricing it right, make it easy to show, keep it clean, professional pictures, etc.), there are a couple of MAJOR THINGS all homeowners need to do...

Let's Get RealisticBE REALISTIC.

Yep.  I said it.  This economy applies to you.  You aren't going to be able to sell high and buy low.  But, if you are realistic, you will be able to sell relatively quickly (and, by doing so, net more than those who are holding out for a higher price). 

What do I mean?

In the last 2 months I've written 8 contracts (NONE of the Seller's were willing to come down to where they needed to be!)  Were they lowball offers?  From the Seller's prospective, maybe so.  Based on comparables, not really.   ALL but 1 of those homes are still sitting on the shelf.  That one has been withdrawn. 

Each of these seller's were short sighted and not well advised.   Each could be living in their new home and no longer dropping cash into their current one.   As we head into winter (when the market tends to slow), they are now looking at another 4-5 months of payments, carrying costs and showings.  In one case, where the absorption rate showed a 4-8 YEAR supply, they are looking at not selling their home for a very, very long time.  In my opinion, the agents for these sellers failed them.  How?  By not managing their expectations or explaining the "big picture." 

The Big Picture

FOCUS ON THE BIG PICTURE

What is the big picture?

1.  Your first offer is usually your best offer... WORK IT.   Don't assume just because one person wants your house, someone else will.

2.  The longer it sits on the market, the lower the offers will be.  The first question out of many buyer's mouths is "how long has it been on the market?"  The answer to this question is often a big consideration in the price offered.  Many buyer's think "Long time on the market = desperate sellers" (whether it's true or not!)

3.  Consider your Carrying Costs.  Let's assume your mortgage payment is $2000/mo and insurance/taxes/utilities are another $1000/mo.  If your home is on the market for another 6 months, you've just thrown $18,000 into a hole.  Wouldn't it be better to come down $15,000 on price and sink that extra $3000 into your new home?

4.  Work other angles!  Money isn't always the 1st concern of a buyer or seller.  Time, repair concerns, etc are often in the forefront of a buyer/sellers' mind.  For example... If a Buyer wants a 2 week close, do it.  Will it be stressful?  Heck yes!  Will it be worth it in the long run.  You bet!  Don't lose a buyer because it's going to be "too hard" to move quickly.   Another example... buyer wants you to pay for all repairs.  Negotiate what you can.  Pay for the rest.  Why shouldn't you?  You are the one who deferred the maintenance, why should the buyer have to pay for it?

5.  Manage your expectations.  I'm forever coming up against the statement "I could have."  "I could have sold 3 years ago for $700,000"  Coulda, shoulda, woulda... What matters now is now.  "Coulda" money is like a Publisher's Clearinghouse Check.  It's only real if you can cash it in (or if you used that "coulda" like an ATM).  Would you pay more for a house because the seller's COULD have sold it 3 years ago for $xx?  No?  Well, neither will your buyers.   

6.  Profitability.  Focus on the over-all profit, not just the profit/loss you receive from your present home.   Let's assume you are "moving up" in the world.  You want to sell your $200,000 home and buy a $400,000 home.   Unfortunately, in this market, you are having to "take a hit."  Let's assume that "hit" is 10%.  Yikes!  $20,000?!?!?  Yep... just wait.  Remember, we are in a market where many homeowners are underwater by 30, 40 & 50% (not to mention all the foreclosures and short-sales).  So, let's assume you find one of those $400,000 homes which is under by 30% (-$120,000).  When the market turns around, and homes head back up to where they had been, you just made $120,000 in equity (instead of regaining the $20,000 you had previously lost had you stayed in your current home).   Sometimes, selling low and buying low can work to your advantage. 

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Tori Stamps, MA, JD

Stamps Realty

www.Stamps-Realty.com
www.LeipersForkRealEstate.com

615-512-5485 (cell)
615-595-1311 (office)
615-595-1312 (fax)
tori@stamps-realty.com


Info about the author:

Tori Stamps, MA, JD is a Franklin TN REALTOR® providing impecible service and attention to detail when you are looking to purchase and/or sell real estate in Williamson County, TN - including Leipers Fork, Franklin, Brentwood, Thompsons Station, Spring Hill and all other surrounding communities.  Please visit me at www.Stamps-Realty.com or  www.LeipersForkRealEstate.com for all your real estate needs.

If you're on the fence about buying a home in Franklin TN or its surrounding Williamson County TN communities, now is the time to buy.  Today's market is providing some great deals!  Now is the time to take advantage of the economy while interest rates remain at an all time low.  For more information on homes, estates and farms in and around Franklin, TN and its surrounding communities, you can search the MLS free of obligation at http://www.leipersforkrealestate.com/search-mls.asp.

Tori Stamps, MA, JD - Principal Broker/Owner - Stamps Realty, Inc. - 615.512.5485 cell

Copyright © 2009 By Tori Stamps, MA, JD.  All Rights Reserved

Comments (4)

Larry Brewer - Benchmark Realty llc
Benchmark Realty LLc - Nashville, TN

Tori - if only I could get all of my clients to follow these simple directions. If they aren't going to be realistic, take it off the market and wait for the economy to improve. But instead, they change realtors 3 or 4 times, because it's always our fault when their home doesn't sell.

Have a good day, we are in for some really fantastic fall weather

Oct 25, 2011 03:32 AM
Michelle Francis
Tim Francis Realty LLC - Atlanta, GA
Realtor, Buckhead Atlanta Homes for Sale & Lease

Tori, 

Well said and ABSOLUTELY BRILLIANT!  I need folks to be realistic or I cannot help them.  No magic potions or wands that will make folks pay an extra high price for their house.  It just doesn't work that way. 

I'd rather pass on the listing than be explaining why it still hasn't sold 6 months from now!  Life is too short.

All the best, Michelle

Oct 25, 2011 12:25 PM
Don Sabinske
Don Sabinske, Sabinske & Associates Inc. - Zimmerman, MN
Sabinske & Associates Inc.

I don't know where you went, Tori, but good luck!

Jan 28, 2012 03:55 AM
Phil Hillerman
Crye-Leike Realtors® - Rogers, AR
Crye-Leike Realtors®

Hi Tori, Still a great post, I hope you are doing well in real estate.

Apr 17, 2013 12:42 AM