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"Due to the economy, we've lowered prices"

By
Education & Training with HD Realty BK662006

Yep, that's what I just saw on a billboard at an oil-change place...

"Due to the economy, we've lowered prices"

THAT'S TOTALLY THE WRONG THING TO DO!

I know that this post is going to get some comments, both agreeing and disagreeing, and that's what makes America, America.  We can disagree and we're still OK!

Lowering prices is NOT what we need to do to stir the economy, in fact, every time a seller lowers their list price on their house, they are MAKING THE REAL ESTATE MARKET WORSE!

I would rather see a billboard that says "To make your car last longer and save gas money, have your oil changed regularly" or maybe "take advantage of lower home prices and the low interest rates and become a homeowner today" (isn't that better?)

I've written before about the phenomenon of "self fulfilling prophecy" and attitudes like this oil-change store has are what are fueling on the problems in our country.

So please don't be so quick to drop prices on your houses and your listings...look at what you can do to get market value...mow the lawn, pressure wash, clean the carpets, stage the home, offer financing terms (like lease option, owner financing, etc, if you need more info on these techniques, visit www.AndyTolbert.com/swarm-seminar), step up your marketing (a lot of it is FREE) and...

Get out there and sell houses!

 

See you next time!

Andy

Doris Freeman
Zach Taylor Real Estate - Gallatin, TN
Broker/Agent, 615-961-7799

Great Post, and so true if we can all take the positive direction then things will change because we have changed the way we think.

Have A Great Day.

May 22, 2008 01:33 PM
Robert Huntsinger
Empire Realty - Upland, CA
Empire Realty Upland, CA - Full Service at a Discount

Good idea, but when cash gets tight the only way to spur movement is to price things low enough to overcome the fear.

Take care!

RJH

May 22, 2008 01:35 PM
Robert Huntsinger
Empire Realty - Upland, CA
Empire Realty Upland, CA - Full Service at a Discount

Good idea, but when cash gets tight the only way to spur movement is to price things low enough to overcome the fear.

Take care!

RJH

May 22, 2008 01:36 PM
Susan Hilton
CENTURY 21 Beal, Inc. - College Station, TX
Texas Aggie Real Estate, College Station Bryan Texas Real Estate

I agree - Attitude makes SUCH a big difference!

May 22, 2008 01:36 PM
Mike Wong
Keller Williams Realty Southwest - Sugar Land, TX
Realtor: Commercial, Residential, Leasing, Invest

Great post and I agree with you in some ways. As a Realtor Im worried to see the housing market suffer with the economy. As a business owner and investor it affects my income as well. As a consumer it relieves my wallet.

I use the low interest rates scripts all the time to my potential buyers. In this market we have to make things sound positive and appealing to combat the "doom and gloom" news from the media daily.

Its hard to balance and discrimate what things can be discounted and what cant. The essentials we need to live on everyday should be discounted: food, gas, energy, etc. We may argue about new home builder inventory being discounted killing neighborhood values, but I can guarantee you nobody will complain about gasoline discount offers being a bad thing right now.  

This is such a tough debate. However its already a built into the system unfortunately. With desperate homeowners forced to resort to short sales, a foreclosure inventory in some cities, and an increased inventory in homes all over the country, this is the result of all those factors. It all comes back to: "The market determines the price" and unfortunately the market is out of our control right now.

May 22, 2008 01:50 PM
Dahl Real Estate Group
Platinum Living Realty - Scottsdale, AZ
Scottsdale Luxury Homes

You are right about one thing, you will get comments.    You might want to take a night class at your local Community College in Economics 101.  Simple principles such as "supply and demand" or "price equilibrium" be damned.  Good luck!!!

May 22, 2008 01:51 PM
Steve Glose
Keller Williams Legacy - Orlando, FL
TRC, CIPS, 407-616-7286, Orlando Real Estate, Orla

Housing aside, I have no problem if the price of gas comes down.

May 22, 2008 02:05 PM
Greg Hampton
Re/Max Around The Mountains - Blue Ridge, GA
North Georgia Mountain Property,Blue Rid

Thanks for the post, Attitude will determine your altitude in most cases.

May 22, 2008 02:05 PM