Buyers and sellers are the most wonderful clients! Don't you agree?? They sell houses. They buy homes. They love us for our commitment to them through the process. BUT...you knew it was coming!!! But, when the buyer and the seller is the same person our relationship can become strained sometimes.
Picture this, "I would like to build my dream home. I would like for you to represent me and help me find and build my dream home."
I say, "Fantastic!! First, let's get your home in (pick a state) marketed properly by a fine agent with whom I can put you in touch. And we will find us a builder in a fine neighborhood we can all be proud of."
Client, "Oh, I'm not going to market my home right now. It is the best home in the best neighborhood in (pick a state). I will put in on the market in four months. I have already spoken with a Realtor who assured me it will sell in a week. Let's find the new home of my dreams. "
I say, "Oy!" No, really, I say, "What if your home doesn't sell over night? Is that okay? Are you prepared for double mortgage payments? I don't want to be negative but I do want you to weigh all of the options here. I owe that to you."
Client, "Yes, that is fine but it won't be an issue. The house will sell."
I am writing this post because I have had five clients in the last couple of months relocating from other areas of the country who I had this conversation with. One has sold their home. It closes a month after their home here is complete. That is the perfect love story. Close on the new home and have time to relocate your things from far away to the new home. That is rare!!
Now let's talk about transitioning markets. There are some areas of the country that have enjoyed unfathomable appreciation over the last several years. They have been "hot" markets. (I haven't been in one of those markets. I look forward to it one day.) The only problem with a hot market is transitioning out of one. When do you sell? How do you know what the right price is? A CMA doesn't mean as much in a transitioning market. Supply and demand. Even the nicest homes, in the nicest neighborhoods, with the best schools can sit if the market conditions are right. I remember selling my first home. I knew the average market time was five months. I didn't like it and, just like every other seller in the world, I believed my home would sell after the first two showings. That is called pride of ownership. My home sold in four months. And let me tell you how well it was marketed!!!!
Then there is my client who cried on the phone reading the headline on the front page, "Do You Have a Four Bedroom Colonial to Sell in Northern NJ? So do 15,000 Other People." It has been marketed well over a year now.
The answer is market your home now if you don't want two payments in six months. Find out what the average market time is in your area. Not just your neighborhood but the area as a whole. Remember that the days-on-market average can change in two months as well. Don't get trapped by a contract and another mortgage. Maybe you can write your buyer's contract out a couple of months. Maybe you can contact the builder and get things to move more quickly. Maybe two mortgage payments isn't a burden for you. If not, please, count that as a blessing.
If your agent sells the home over night hug him or her and say, "Thank you!" Your agent should help you find a storage center and a short term rental. If they won't, find a new agent!
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