A decade has passed since The Bubble burst yet Sellers are still not breaking even to this day. I've recently had three cross my path and it's a journey that's quite uncomfortable, not for me but definitely for the owners. Some of these homes have been on the market for more than a 1,000 days. I don't want them in my portfolio because they're overpriced. Although they are beautifully maintained and condition is near perfect I cannot get to the sale price these Sellers want, nor will any other agent for that matter.
Loyalty is an excellent quality for customers and when your real estate associate can hang on for the duration that's utterly amazing. Don't get me wrong, that attribute is the pinnacle of what an agent seeks most. By the same token, they're not conveying the reality of what needs to be done to sell your home if truthfulness is not made part of their equation.
Have you been on the market more than a year? Longer than that and you need to find some honesty along with that loyalty. The investors are beginning to circle above and throw out low ball offers every now and then. The showings are few and far between! Now is the time for "The Talk". It's somewhat akin to the ones you gave your teens when they stopped asking for your advice. It's not easy, however, it's now necessary.
Here's a sample of what has been experienced by many in this situation. The numbers are going to be different of course but the sequence and results are all relatively the same. At this point the home is secondary and pricing is paramount.
How your JOURNEY began back in '05:
February purchased home for $918,000
April '08 listed home for $1,295,000 (realistic value $900,000)
March '09 reduced to $1,275,000
Off Market until 2015
May begin again at $1,200,000 (should have been under a million)
June price drop to $1,195,000 (no one is fooled)
November price drop to $1,150,000 (getting closer)
March '16 down again to $1,060,000
December '16 reduced to $999,999 ( ouch!)
March '17 it's getting real at $975,000
May '17 another reduction to $969,900 ( why bother)
NOW you're at $925,000 almost exactly where you began. Five real estate agents later and so much time lost. The true value is within your grasp but it's now at $850,000. All of these associates exclaimed that to you all throughout their listing periods. The facts were ever-present through each of their comparative market analysis reports. Your insistence on setting the price point with disregard to the evidence brought us here. Times have certainly changed in the Real Estate business although one aspect remains the same.
“The most valuable real estate in the universe is inside your soul.”
~ Matshona Dhliwayo