I know this may sound crazy (and I am sure it would never actually work) but what if we just shut down the entire Real Estate market for one whole week? No I don't mean Realtors take a vacation, quite the contrary. I mean all MLS & isting websites just put everything on hold and in the mean time all Realtors would have to reevaluate their listings. Below is how I came to this plan and how it would work...
I just came from 2 Broker's Open Houses which showed 2 different examples of the over priced home.
First was a listing that has been on the market well over a year. This home is priced over $450,000 (I don't want to give exact info because you never know who may be reading), this home shows very well and while $450,000 may have been a fair market value in 2005, now it should be priced at about $325,000. Perfect example of how that moving target gets away from people and the home never sells.
Second, was a brand new listing from a Realtor who doesn't typically work the area priced over $450,000. When I tell you that this is grossly overpriced...I am not kidding! I have recently done comps for a similar home and I am certain that this home should be priced in the low $300,000s.
What are we thinking as Realtors taking grossly overpriced listings and holding on to listings that will never sell??? (All of the homes I have listed have had price adjustments over the past 3 weeks, however, I have been guilty of taking overpriced listings as well, i will admit my faults)
This is where my plan comes in...
1. We tell all Sellers that for 7 days, no home across the Country will be available for sale (so they are not missing out on any potential buyers as Real Estate is on vacation.)
2. Every Realtor must use this week to reevaluate their current inventory. If they don't want to participate then just give up your license.
3. Every Realtor must meet with their Seller and ask them the typical prequalifying questions. I think this is key!
Mr./Mrs. Seller..why do you want to sell your home? How quickly do you want your home sold? Are their any liens or judgments on the home that I may need to know about? How much do you owe on your mortgage? Are you prepared to reduce the price if we do not get activity or an offer in the next 3 to 4 weeks?, You get the picture.
4. Every Realtor must prepare a brand new CMA. If they cannot be objective then maybe they need to pair up with another Realtor and they can each look objectively at the other's listings.
5. Every Realtor must talk to their sellers and tell them what they will do to market their home for sale (THEN DO IT!)
6. Every Realtor must then get new listing agreements for any home tht will be priced appropriately for today's market by Sellers who really are interested in SELLING (testing the water Sellers no longer apply)
7. Every listing will then go into the MLS as a brand new listing reflecting the updated photos, amenities, & information as if you just listed this home for the very first time. (Of course the MLS will not charge us for these new listings because they just had a week off from work with pay).
Just listed cards will be filling the mailboxes of people across the Country, brochure boxes will be filled with pretty new flyers, yard signs that were once falling down & dirty will now be all clean and upright, there will be an excitement about all of the homes that are competitively priced and Buyers may just be excited about all of the opportunities out there for them!
Can you imagine the possibilities that could come from everyone reevaluating for just one week????
P.S. I mean this with the best of intentions so please don't take what I said as a negative attitude but a positive way to create better opportunities for our buyers & sellers alike.