Special offer

Interesting sale

By
Real Estate Agent with RE/MAX Top Properties

There was a 12.27 acre parcel of land for sale to the southern-most tip of my town, Coal City, IL.  Instead of listing with one of the local real estate professionals the sellers opted for a company that sells primarily land and commercial developments. I can dig that...makes enough sense from a fundamental standpoint to use a company with expertise in that area.

The lot went up for sale at $920,250 on 8/16/07. Now many of my readers are from around North America- so take my opinion that I thought that price at $75,000 per acre was a little high.

Need proof? It closed two days ago in a cash deal (342 days on the market) at, get this, $275,000!!!

WOW- even I didn't see that coming!

So this brings up a couple of things for me. The first and most obvious is- 'wow, this market's so bad that people will possibly unload at any price'. But the bigger issue to me as a REALTOR is how does the agent/ company go about their business from here on? They're "experts" in this type of property so much that the sellers didn't consider a local professional. Yet at the end of the day they took a year to sell a property at 29.9% of its original list price.

*Could you, as a REALTOR, imagine working that into a marketing presentation? "Well, it'll take a year and I'll get you a little less than a third of what I'm putting it on the market at. Sound fair? Sign here, here and here."

*Could you as a seller look at this and be happy or proud in your decision? I hope so because the same guys have a pair listed for $399,000 and $6,375,950 right now. The 6 million dollar parcell is at the same development as the referenced property. If it sells for the same dollar per acre- the sellers will be moving it at about 2 million dollars less than asking.

I certainly do not envy the lady or gentleman that has to price in this type of category in this market as a screw up too low can cause your clients tens and hundreds of thousands of dollars and a screw up too high can have you sitting around for a year and selling at a third of list. Not fun!

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Jim Ludes is a REALTOR with Century 21 Coleman-Hornsby in Grundy and Will County, IL. If you have a question about real estate that he might be able to help with, email him at Jim@JimLudes.com or call/text at 815-712-7786. If you'd rather observe from afar or become friends first, check him out at:

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Lori Gilmore
Baird & Warner Real Estate - Joliet, IL
Realtor - Will County Illinois

Wow, talk about overpricing!  Makes you wonder what the seller's situation is.  I don't know land values in your area, do you think that it sold at market, or below market?

Nice to see you around again :-)

Jul 25, 2008 08:39 AM
Jim Ludes
RE/MAX Top Properties - Coal City, IL
Grundy/Will County, IL REALTOR

I think it's probably slightly below it's true market value....but certainly much more in line than the original list price would indicate.

Jul 25, 2008 08:42 AM