Everyone can agree that when it comes to listing a house, everyone wants the same goal. But why your listing not selling can be a complicated answer. What is the common goal? Get it sold! If you are the listing agent or the seller yourself, the last thing you want to see is a listing that is just sitting on the market like a bad pimple on your face.
Most people will think price is the answer to get it sold, but is this always true? If you have done any time searching for homes, you will see the the constant marketing of “PRICE REDUCED” (for some reason its always in all capital letters).
It can be easy to just focus on the price of the home, but marketing and exposure is equally as important. Exposure is making sure buyers and agents know your property is for sale. This is more complicated than sharing properties on social media or an advertising plan (those things should definitely be done though!).
MLS Listing Search Results
I read an article that talked about inaccurate information that lead to poor searches.
Many complain about poor pictures or listings without photos, but it is the searchable features that will determine whether people looking for a house can find your listing.If they cannot find it in their searches, they probably will not see it, and that might lead to what can best be described as a needless and costly price reduction.If your property is listed incorrectly, a price reduction will not make it any easier to find.I have seen the wrong number of bedrooms or bathrooms listed, incorrect or missing features, singles listed at twins or rows, and so on. I have even seen wrong ZIP codes used.While pricing is often the reason a house is not getting offers, it is too easy to overlook ineffective or even poor marketing. – source
If you have worked with a real estate agent that is reducing the price of your home, ask them questions about the marketing plan first. A good agent should price the home aggressively to start from the very beginning.
When I looking for a real estate agent, I want someone who understands real estate marketing. Posting to the MLS and putting up a sign is not what I am paying a commission for. I am paying a Realtor a commission for a reason. Peace of mind, negotiation, and getting top value for my home while reducing the time on the market. The best way to reduce the time on the market is to gain exposure in all areas of the industry. Agents are very motivated to get their sellers into homes. They will find your property if it is the right match for a client.
Two Things a Price Reduction Should Do:
First,a price reduction should happen if it makes it more attractive to people who already know about your listing. Second,it drops it down into other peoples search criteria.
Possibly the biggest thing that needs to be discussed is, are you wanting to maximize the price of your home? Or are you trying to sell your house in a certain time frame. Understanding these concepts will make it clear that price adjustments are not often a sign of failure.