Page 17 - Don't Do It - You Won't Regret It!!

By
Real Estate Agent with Haven Express @ Keller Williams Arizona Realty BR534744000 & BR540649000
https://activerain.com/droplet/4VCv

Earlier this month I wrote: Page 16 - Another Ping!!!
 

We attended the listing appointment described in that post.  

 

The property had languished on the market for almost a year.

 

 

When it expired, it was priced at $740K.

 

Showings had been sporadic.

 

No offers.

 

Period.

 

It turned out that the second decision maker was available to be there after all.

 

It was a great discussion.

 

They want it sold and closed by December of this year. 

 

They had an appraisal a couple of years ago that valued the property at $700K, so this was/is the bottom line number in their minds.

 

We did discuss Market Value versus Disposition versus Liquidation appraisals.

 

Digging deep into the history of the gated community where their property is located, it became apparent that properties sold very slowly, and that those that did sell were not at the price point they were seeking.

 

Without boring you with the nitty gritty of the analysis, our recommendation to them was to list it at $700K, and be prepared to accept something around the $670K-$680K mark for the time frame they were looking to sell.

 

They interviewed five other agents.

 

They selected the agent who claimed to be a "specialist in their price point" - and relisted at $725K!

 

 

 

I wonder if that agent shared with them what percentage of their listings fail to sell - Cancelled and Expired - and how many of their listings are nowhere near that price point?!

 

 

 

 

We'll be here to help the Sellers pick up the pieces when they "Expire" or "Cancel" again a few months from now.

 

The moral of the story is "However tempting, there is no point in throwing out a list price to Sellers at which the property won't sell, unless you want to waste time, money and effort marketing a listing that will never sell at that price!"

 

Is it difficult to turn away business at that price point?

 

It depends (channeling Michael Jacobs).

 

There is no point in engaging in something that doesn't at least hold out hope of being a Win/Win, in my humble opinion.

 

What say you??

 

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About the Authors - Updated 2018

If you are considering a Traditional or Short Sale of your home in Phoenix, Scottsdale or any location in Maricopa County Arizona, you owe it to yourself to talk with Haven Express @ Keller Williams Arizona Realty to determine whether Tony and Suzanne Marriott are the best real estate Brokers in the Phoenix and Scottsdale metropolitan area to help you with the Successful Sale of your home.

Tony and Suzanne have personally Listed, Sold and Closed more than a hundred Short Sales with the highest list to close rate in the Phoenix Metro Area!

Tony Marriott - Chief Executive Officer - Haven Express @ Keller Williams Arizona Realty

Suzanne Marriott - Chief Learning Officer - Haven Express @ Keller Williams Arizona Realty

Associate Brokers, REALTORS
Haven Express
Keller Williams Arizona Realty
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Topic:
Real Estate Best Practices
Location:
Arizona Maricopa County
Tags:
expired listing
overpriced listings
haven express
tony and suzanne marriott

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Rainmaker
565,863
Denise Hamlin, Broker/Owner
Cardinal Realty ~ 319-400-0268 - Iowa City, IA
Helping Happy Clients Make Smart Choices

Taking overpriced listings is risky and something I like to avoid. That said, I see agents having success in listing homes at a higher price and then talking the sellers down to a lower price over time. I guess there's more than one way to skin a cat, but personally I have my reservations about this strategy. I prefer to educate my sellers before I list their houses and not do the educating while the house is listed. Plus, there is data out there to support the fact that houses that sell quicker, sell for more. Pricing a home right from the start is the best way to go. Anything else is a bit of a lottery game.

Aug 29, 2016 03:14 AM #7
Rainmaker
1,549,285
Sandy Padula and Norm Padula, JD, GRI
HomeSmart Realty West & Geneva Financial, Llc. - Carlsbad, CA
Presence, Persistence & Perseverance

We have had this same scenario occur to us numerous times in the past and I will bet you 'dollars to donuts' if it does sell while listed with this $725K agent, the final price will be $680K, Tony and Suzanne Marriott, Associate Brokers !

Aug 29, 2016 04:12 AM #8
Rainmaker
1,329,198
Carol Williams
Although I'm retired, I love sharing my knowledge and learning from other real estate industry professionals. - Wenatchee, WA
Retired Agent / Broker / Property Manager

They must not be too motivated to be willing to "play" the market again. 

Aug 29, 2016 05:30 AM #9
Rainmaker
1,086,806
Margaret Goss
Baird & Warner Real Estate - Winnetka, IL
Chicago's North Shore & Winnetka Real Estate

I say you dodged a bullet.  Maybe next time around they will be more informed . . .

Aug 29, 2016 09:07 AM #10
Rainmaker
2,946,120
James Dray
Fathom Realty - Bentonville, AR
Exceptional Agents, Outstanding Results

Good morning Tony & Suzanne.  Good thing yo walked away, I know I have on people who just won't listen.

Aug 29, 2016 08:21 PM #11
Rainmaker
3,053,541
Tony and Suzanne Marriott, Associate Brokers
Haven Express @ Keller Williams Arizona Realty - Scottsdale, AZ
Serving Scottsdale, Phoenix and Maricopa County AZ

Thank you Gita Bantwal - hope you enjoy them - and - thanks for stopping by with a comment!

Aug 29, 2016 11:10 PM #12
Rainmaker
3,053,541
Tony and Suzanne Marriott, Associate Brokers
Haven Express @ Keller Williams Arizona Realty - Scottsdale, AZ
Serving Scottsdale, Phoenix and Maricopa County AZ

It was so much simpler with Short Sales where the Sellers didn't really care about the sales price Sheri Sperry - MCNE - thanks for stopping by with a comment!

Aug 29, 2016 11:11 PM #13
Rainmaker
3,053,541
Tony and Suzanne Marriott, Associate Brokers
Haven Express @ Keller Williams Arizona Realty - Scottsdale, AZ
Serving Scottsdale, Phoenix and Maricopa County AZ

Anything is possible Bill Roberts - in this case the Sellers have a particular challenge:

1. Sell their price to a listing agent

2. Sell their price to a Buyer

3. Sell their price to a Buyer's appraiser!

Aug 29, 2016 11:12 PM #14
Rainmaker
3,053,541
Tony and Suzanne Marriott, Associate Brokers
Haven Express @ Keller Williams Arizona Realty - Scottsdale, AZ
Serving Scottsdale, Phoenix and Maricopa County AZ

Absolutely Alex Gandel - thanks for stopping by with a comment!

Aug 29, 2016 11:13 PM #15
Rainmaker
3,053,541
Tony and Suzanne Marriott, Associate Brokers
Haven Express @ Keller Williams Arizona Realty - Scottsdale, AZ
Serving Scottsdale, Phoenix and Maricopa County AZ

We've had Sellers come back to us before Michael Jacobs - let's hope history repeats! - thanks for stopping by with a comment!

Aug 29, 2016 11:13 PM #16
Rainmaker
3,053,541
Tony and Suzanne Marriott, Associate Brokers
Haven Express @ Keller Williams Arizona Realty - Scottsdale, AZ
Serving Scottsdale, Phoenix and Maricopa County AZ

Agreed Lynnea Miller - thanks for stopping by with a comment!

Aug 29, 2016 11:14 PM #17
Rainmaker
3,053,541
Tony and Suzanne Marriott, Associate Brokers
Haven Express @ Keller Williams Arizona Realty - Scottsdale, AZ
Serving Scottsdale, Phoenix and Maricopa County AZ

We prefer to maintain our track record of selling every listing we have taken since June 2011 - Traditional and Short Sale Denise Hamlin - thanks for stopping by with a comment!

Aug 29, 2016 11:15 PM #18
Rainmaker
3,053,541
Tony and Suzanne Marriott, Associate Brokers
Haven Express @ Keller Williams Arizona Realty - Scottsdale, AZ
Serving Scottsdale, Phoenix and Maricopa County AZ

I'm not allowed donuts right now Sandy Padula and Norm Padula, JD, GRI NMLS#1483386 - but I'll take the dollars!! 

Aug 29, 2016 11:16 PM #19
Rainmaker
3,053,541
Tony and Suzanne Marriott, Associate Brokers
Haven Express @ Keller Williams Arizona Realty - Scottsdale, AZ
Serving Scottsdale, Phoenix and Maricopa County AZ

They "think" they are - but - their game plan may well unravel before their eyes Carol Williams - thanks for stopping by with a comment!

Aug 29, 2016 11:16 PM #20
Rainmaker
3,053,541
Tony and Suzanne Marriott, Associate Brokers
Haven Express @ Keller Williams Arizona Realty - Scottsdale, AZ
Serving Scottsdale, Phoenix and Maricopa County AZ

I think so too Margaret Goss - thanks for stopping by with a comment!

Aug 29, 2016 11:17 PM #21
Rainmaker
3,053,541
Tony and Suzanne Marriott, Associate Brokers
Haven Express @ Keller Williams Arizona Realty - Scottsdale, AZ
Serving Scottsdale, Phoenix and Maricopa County AZ

The best thing to do IMHO James Dray - thanks for stopping by with a comment!

Aug 29, 2016 11:17 PM #22
Rainmaker
709,621
Bill Roberts
Brooks and Dunphy Real Estate - Oceanside, CA
"Baby Boomer" Retirement Planner

Hi Tony Tony and Suzanne Marriott, Associate Brokers I know it hurts to lose a listing, but not every listing can be gotten, even by the best team in Phoenix. And just maybe they have been able to do #1 and #2, but #3 will be the real test.

Bill Roberts

Aug 30, 2016 01:06 AM #23
Rainmaker
691,171
Pat Champion
Coldwell Banker Camelot Realty - Mount Dora, FL
Call the "CHAMPION" for all your real estate needs

Great post I always tell my Seller's you want to list the property to sell not just list the home. Thanks for sharing I hope you have a great afternoon.

Aug 30, 2016 03:00 AM #24
Rainmaker
3,053,541
Tony and Suzanne Marriott, Associate Brokers
Haven Express @ Keller Williams Arizona Realty - Scottsdale, AZ
Serving Scottsdale, Phoenix and Maricopa County AZ

We will bide our time Bill Roberts - thanks for stopping by with a comment!

Aug 31, 2016 11:32 PM #25
Rainmaker
3,053,541
Tony and Suzanne Marriott, Associate Brokers
Haven Express @ Keller Williams Arizona Realty - Scottsdale, AZ
Serving Scottsdale, Phoenix and Maricopa County AZ

Right on target Pat Champion - thanks for stopping by with a comment!

Aug 31, 2016 11:33 PM #26
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