Housing market sales takes another dip....for most...not all sellers!

By
Managing Real Estate Broker with Flexit Realty "Flexible Home Selling Solutions"

What would you think if you read a headline that says...the average home sales in the US drop nearly 8% from one year ago?  Some markets are in double digit decline this is the average!

For most of us a headline like that is very understandable.  Day after day we are being blasted with news of foreclosures, short sales, subprime defaults and Realtors telling us sales are down.  The truth is the figures show home sales are down...so why would this be a surprise?newspaper

Here is the real headline...."Housing Market Sales take a dip...For Most Sellers....but NOT ALL!"  OK, who is the "NOT ALL"?

They are the one's selling of course!  Now why do some homes sell and others not sell?  Lets cut to the chase.  Since I have a marketing degree...lots of specialized training I can dazzle you with words, facts and figures or just give it to you straight.  You can take it!  You see gas prices going throught the roof, so to speak.  You see grocery price jumps everytime you go to the store and housing prices are coming down?

The truth is it is a simply supply and demand issue.  So then if we know we have more homes for sale than buyers...(Supply (homes) Demand (buyers)) then why do some homes sell and others site for months?  Here are the top four reasons.  These are not disputable or changable they are the top four reasons.  Evewryone is entitled to an opinion but the facts are the facts.  Survey after survey have place this reason of not selling in this order....so you can believe them and adjust or you can deny them and not sell....we all have choices.

  1. Price, for the market
  2. Condition of property
  3. Location, where the property is located
  4. Marketing, the agent and the methods used to sell the property

Price:  The home may have been priced close when it was first put on the market but as the numbers from news reportsmarket changes so does the preceived value in the buyers eyes.  This has nothing to do with real value or the seller's investment. This may be one of the most difficult issues for seller's to understand.  Selling is a very emotional issue.  The seller has goals that are not the same as the buyer.  The seller may have to have a certain amount of money to buy the next property they are looking to purchase...any number of issue but none that impact or are a concern of the buyers!  Pricing to the market when you list your home for sale is key to sell fast and for more money.  If you wonder how...attend one of my classes "selling fast and for more money", they are scheduled all over Michigan...free to the public.   We can believe numbers from news reports...but local markets are very different from national numbers being reported.

Margaret Woda wrote a list of the top 25 Mistakes FSBO sellers and Sellers in general make.  I have put a link to her post.  It was very well done and if you missed it....take the time to read it.  She and her daughter were looking to purchase...(buyers) and the sellers happened to be a FSBO but this could be an inexperienced agent just as easily which covers item four on the list above.   http://activerain.com/blogsview/506659/My-Daughter-Made-an

Condition: If your home needs painted and a competitively priced home offering the same or similar features does not...and they are priced the same which one would you buy?  You have your answer.  If one home has a neatly cut lawn and flowers and the other is shaggy and drab...which one would you buy?  You get the point...condition is more than curb appeal.  If once some one enters the home and lights need to be replaced, faucets drip and there is a scum ring in the toilets and the competitive home sparkles....which one would you buy?

Locaton:  This is one I love to talk about...because location for one may not be the idea location for a different buyer!  I just received an offer on a home that is not the ideal location for me...in fact I thought it was horrible.  Out in the country on a dirt road...then into a nice little sub-division with 1 acre lots, propane fuel...not for me.   But the buyers best friend is only six doors away and they love the idea of living close to each other.  Location for shopping, expressway systems, schools, church can all play a role.  Even rural location have a draw to certain people.  So it is very important to use the location of the property for the buyers it attract and target your efforts.

Marketing:  This means different things to different people.  Selling is marketing but not in the format I think of as marketing.  Brochures is marketing...how they are used and put together is an issue.  Cable TV is marketing, Internet listings is marketing...but just on a company website is not enough...  I know people will tell me their company website is the top rated site...big deal one site...I place homes on over 25 sites does that improve the sellers exposure?  I am sure the combined hits over my site is more than your company website and I have a $100.00 to prove it!  Now the only reason I would say that is if I am sure so tread with some caution before you have to send me your hard earned money.  I did a links check and hit useage of all the top companies in the US and not one comes close by themselves.

Marketing is the method of exposing you property to buyers and buyer's agents (Realtors).  So if you are thinking of listing your home or your listing has expired and you live in Michigan give me a call or drop me an email for a confidential appointment at your convenience to develop a marketing plan specifically to meet your needs and the needs of you family.  If you live in another state....drop me an email and I will refer you to a Realtor in your area that is a career professional you can trust to represent your newelcomeeds.

Go to our website to download Free over 30 Reports that could save you thousands of dollars in your next real estate transaction.

Call Toll Free:  877-667-4699   Email: garywhite@grar.com  Website:  www.FlexItRealty.com

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Rainmaker
720,587
Teri Eckholm
Boardman Realty - White Bear Lake, MN
REALTOR Serving Mpls/St Paul North & East Metro

Gary--Selling a home in today's market does take expert advice....And you are willing to share it too! Good post...Margaret's was very good too!

May 14, 2008 04:43 AM #1
Rainmaker
1,524,338
Gary L. Waters Broker Associate, Bucci Realty
Bucci Realty, Inc. - Melbourne, FL
Fifteen Years Experience in Brevard County

Well put...Sellers are the ones who take the issues you pointed out and address them early on!

May 14, 2008 05:22 AM #2
Rainer
70,582
Matt Moxhay
Prudential Fox & Roach - Moorestown, NJ
Moorestown Real Estate

You make some excellent points.  Another key to a home selling is being able to take the initial offer and take that to a successful closing.  I notice many more deals falling apart in my area, and would caution that using a professional greatly improves the chance of home actually selling as opposed to just getting offers.

May 14, 2008 05:46 AM #3
Rainer
67,222
Keith Perry
Coldwell Banker - Hiram, GA
REALTOR - West Metro Atlanta

Great post Gary! It is so important these days for seller not to chase the market with the purchase price but have it priced right from the start. Condition is equally important. Another gem!!

May 14, 2008 05:49 AM #4
Rainmaker
643,145
Marchel Peterson
Results Realty - Spring, TX
Spring TX Real Estate E-Pro

GARY, very good information as always.  Location is HUGE around here.  It can vary from subdivision to subdivision also.  It is so important to price the home as to what other homes in the subdivision are selling for.  I just went on a listing appointment where the people thought that since they were close to a fancy development it should affect their values but alas it did not. 

May 14, 2008 09:00 AM #5
Rainmaker
388,669
John Walters
Frank Rubi Real Estate - Slidell, LA
Licensed in Louisiana

no question the more media you can get it on the better exposure and chance of a sale.

May 14, 2008 09:48 AM #6
Ambassador
1,023,687
Margaret Woda
Long & Foster Real Estate, Inc. - Crofton, MD
Maryland Real Estate & Military Relocation

Thank you for the link, Gary!

It's true - some homes are selling!  In my market, I think it's interesting to note that those which do sell, are doing so in less time than those that sold last year - probably the perfect storm of price, location and condition. 

The only thing I would add to your comments are that marketing is all about appealing to the buyers' wants and needs, more than just promotng the property's features.  This is something that homesellers and many agents don't fully appreciate.

May 15, 2008 12:26 AM #7
Rainmaker
1,074,014
Gary White~Grand Rapids Home Selling Pro Call: 616-821-9375
Flexit Realty "Flexible Home Selling Solutions" - Grand Rapids, MI
Real Estate Services You can Trust!

Hi Teri, this is an interesting market and time to be in our business.  Margaret had some great points.  Thanks for the comments Teri.

May 15, 2008 12:41 AM #8
Rainmaker
1,074,014
Gary White~Grand Rapids Home Selling Pro Call: 616-821-9375
Flexit Realty "Flexible Home Selling Solutions" - Grand Rapids, MI
Real Estate Services You can Trust!

Hi Gary, if they really want to sell they have to make an effort to help the Realtor with issues that only the home owner can address.  Thanks for the comments Gary.

May 15, 2008 12:43 AM #9
Rainmaker
1,074,014
Gary White~Grand Rapids Home Selling Pro Call: 616-821-9375
Flexit Realty "Flexible Home Selling Solutions" - Grand Rapids, MI
Real Estate Services You can Trust!

Hi Matt, you point is well taken, just because an offer is low or acceptable there is much more to do before the property closes or the sale is complete.  Thanks for the comments Matt.

May 15, 2008 12:45 AM #10
Rainmaker
1,074,014
Gary White~Grand Rapids Home Selling Pro Call: 616-821-9375
Flexit Realty "Flexible Home Selling Solutions" - Grand Rapids, MI
Real Estate Services You can Trust!

Hi Keith & Robin, pricing correctly in the beginning will actually help the seller sell for more money.  Hard for some to realize but the fact is homes that are priced right sell closer to the list price than those that put some negotiating room in the price.  Thanks for the comments Keith & Robin.

May 15, 2008 12:47 AM #11
Rainmaker
1,074,014
Gary White~Grand Rapids Home Selling Pro Call: 616-821-9375
Flexit Realty "Flexible Home Selling Solutions" - Grand Rapids, MI
Real Estate Services You can Trust!

Hi Marchel, there is more to location than proximity...but it takes a professional to point that out sometimes.  Thanks for the comments Marchel.

May 15, 2008 12:48 AM #12
Rainmaker
1,074,014
Gary White~Grand Rapids Home Selling Pro Call: 616-821-9375
Flexit Realty "Flexible Home Selling Solutions" - Grand Rapids, MI
Real Estate Services You can Trust!

Hi John, exposure to buyers and buyers agents is going to help sell faster.   Thanks for your comments John.

May 15, 2008 12:49 AM #13
Rainmaker
1,074,014
Gary White~Grand Rapids Home Selling Pro Call: 616-821-9375
Flexit Realty "Flexible Home Selling Solutions" - Grand Rapids, MI
Real Estate Services You can Trust!

Hi Margaret, I think you mentioned in your post...helping buyers scratch the itch with wants and needs benefits of the properties features.  Thanks for your comments Margaret.  You post was a very good fit...I appreciated you letting me attach it to my post...thank you.

May 15, 2008 12:52 AM #14
Rainer
139,927
Kelly Sibilsky
Licensed Through Referral Connection, LTD. - Lake Zurich, IL

Good overview, Gary!

May 15, 2008 03:44 AM #15
Rainmaker
1,074,014
Gary White~Grand Rapids Home Selling Pro Call: 616-821-9375
Flexit Realty "Flexible Home Selling Solutions" - Grand Rapids, MI
Real Estate Services You can Trust!

Hi Kelly, all we can do is offer information.  Thanks for the comments.

May 15, 2008 07:10 AM #16
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Rainmaker
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