This can be a tough reality for some homeowners trying to sell their home in a “Hot” real estate market. False assumptions combined with a bad strategy, can ultimately cost a homeowner, tens of thousands of dollars. Why?
If your house has had more than 6 showings without an offer, STOP what you’re doing and re-examine the following:
a. Make sure your list price isn’t based on what you want vs true market value.
b. List Price should be determined by what has SOLD and not by ACTIVE homes on the market.
c. AVOID multiple price reductions if possible. This is called, chasing down the market. Another problem with a house with multiple price reductions? House becomes labeled by other agents and buyers. They often ask, “What’s wrong with the house?”
a. 98% of Buyers begin their home search online. Poor quality photos account for many unsold houses. You have only a few seconds to grab the attention of a potential buyer. If photos are dark and unprofessional, they will never look at it again.
3) UPGRADES vs MAINTENANCE REPLACEMENTS
a. Many homeowners mistake mechanical replacements as an upgrade. New furnace, hot water tanks, and even asphalt single roofs are considered maintenance items. Upgrades would include remodeled kitchen, remodeled bathrooms, matching new appliances, wood flooring, etc. Remember, cost does not equate to value. Just because replacement costs were $10,000, doesn’t mean you automatically gained $10,000 worth of value.
4) HOT MARKET DOES NOT INCLUDE ALL PRICE RANGES
a. Biggest false assumption is thinking every price range is experiencing the same “hot” market. The market may be “hot”, but most likely it is not a hot market in your price range
5) HOME IS DATED
a. Another misconception is all houses are created equal. If your home is dated, expect your list price to reflect it.