You kept hearing how hot the market was and how many sellers are getting multiple offers over asking price the day after they list their home. So, you decided to try and sell your home to cash in on the “hot market”. The days go by and not only aren’t you getting any offers, but you may not even be getting many showings. Now the days have turned to months and you are left wondering, “why didn’t my house sell?”. I can say with great confidence, that if your home hasn’t sold, it is for one of the following reasons…
Your Home Isn’t Selling Because It Is Overpriced
The number one reason a house doesn’t sell is because it is overpriced. Quite simply, if a home is priced above the market value, the best Realtor with the best marketing plan during the hottest sellers market will not be able to get it sold. Most sellers, because they have an emotional attachment to their home, tend to want to price it too high. There is no better time to sell your home than the first few weeks on the market. Because there will never be more excitement or interest in your listing than the first 30 days. So, you have to try to take the emotion out of it and see your home for what it is…a product. It is no longer “your home” once you have listed it for sale because you are now in the business of selling a house. You have competition. The selling process should become strictly business.
The Data Doesn’t Lie
Try not to take it personal when your home doesn’t sell. The buyers on the market have simply decided that your home is not worth paying what you are asking for it. Buyers will look at comparable sold properties and data when arriving at their decisions, and so should you. In addition to recent sales, you should also pay attention to the Absorption Rate in your area. The Absorption Rate is a calculated formula that shows the rate at which homes in the area are being sold. This can be a great predictor of where the market is headed. The faster the Absorption Rate, the more of a seller’s market it is. If the Absorption Rate is getting faster over the last few months, you can most likely price your home a bit higher than current market value. The opposite is true if the Absorption Rate has stayed even, or is declining. A good Realtor will take all of this data and use it to advise you on the best price and course of action for listing your home.
If you still decide to price it above the market value, you will only be setting yourself up for disappointment. Most sellers will begin to reduce the price of their home until it sells which can invite low-ball offers. Once you start reducing the price of your home, a buyer sees you as more “desperate” to get rid of your home. If you price the home reasonably, you may end up with more money in your pocket in the end than you would with a price too high followed by multiple price reductions. Ask your agent for updated market statistics for the area, current absorption rates and anything else your they can provide. Try to look at the numbers with an impartial mindset. If you’re honest with yourself, you can make a rational decision as to how to proceed. Maybe you come to terms with the fact that your home is not worth what you believed it was. Maybe you decide not to sell at this point. Just try to make an impartial and well informed decision.
Your Home Did Not Sell Because It Wasn’t Marketed Well
Words and pictures matter. They are the basic parts of any real estate listing and too often, both the property description and the photos, are average at best. Too many agents rely on the “post & pray” method for selling homes…they post a sign in the yard and pray that it sells with minimal effort. There is no excuse for having a poor property description and anything less than high quality, professional photographs. The listing photos are the first impression almost every potential buyer is going to have of your home. If your listing photos are poor quality, blurry, dark, don’t capture the room well or just plain stink, then many buyers won’t even give it a second thought. If your photos are eye catching, your listing description is creative and well written, that’s a great start. But what is your agent going to do with that information? Today, if you real estate agent is not leveraging social media to help market you home, odds are you will miss out on many potential buyers. Millions of people a day are on Facebook, Instagram, Twitter and Snapchat, yet most real estate agents don’t, or don’t know how to properly utilize social media for marketing purposes. Social media platforms today provide incredibly powerful analytics data that can help your real estate agent find out who is looking at the listing, where they are coming from and how likely they may be to purchase a home. If your agent is not utilizing these tools to help get your home sold, find out why. A good agent should have a thorough plan of action for marketing and selling your home, and they should go over it with you, in detail.
Your Home Did Not Sell Because It Needs Too Much Work
Buyers today have high expectations and most want updated, move in ready houses. While most sellers dread having to put any more money into the house, because they feel they will never see the return on their investment. Improving your home will never hurt your value…you may not see all of it back, but it will help make your home more attractive. Yes, putting in a new kitchen or a new bathroom will make your home more desirable to buyers, but if you can’t/don’t want to do that, at least try to make it clean and repair any existing problems. A fresh coat of paint can go a long way and will usually see a great return on the investment. You real estate agent will be able to give you ideas on what you should or shouldn’t do when it comes to repairs or minor updates. Outdated fixer-uppers do sell, but usually at far below the market value of an updated move in ready home. It might be a good idea to get a prelisting inspection done so you know about any potential issues prior to listing. That way, you can either plan to make repairs, or price it accordingly.
Your Home Did Not Sell Because You Weren’t Flexible
Remember that you are selling a product, so your mindset should be “We Are Open For Business”
One aspect that many sellers often overlook is the availability of the home. Selling your home is not convenient. One of the more challenging aspects of selling your home, is that you must make it available to buyers as easily as possible. Buyers will want to see the home on their own schedule, so you must make your home available to accommodate them. Asking for a few hours notice to make sure the home is clean and prepared is fine, but do not restrict showings to certain days or times and NEVER turn down a showing request. This is someone that has an interest in purchasing your home. Let them in! Buyers prefer to see a home without the owner there, so make sure you leave. If you make it too difficult for potential buyers to see your home and fall in love with it, you need to ask yourself an honest question, “do I really want to sell his house?” If you don’t want to sell, that’s fine. But don’t just go through the motions waste everyone’s time – including yours.
Selling your home doesn’t have to be a painful experience. With the right mindset, a great Realtor on your side and the ability to be objective and listen to the data, you can be prepared and sell your home for the right price with a minimal amount of misery.
If you’re ready for an amazing listing experience, reach out today for a free consultation