Home Selling in 02888>Question Details

Sflow, Home Seller in 02888

my house has not sold after one year's listing and nothing is wrong with it--I have lowered the price considerably. What advice do you have?

Asked by Sflow, 02888 Thu Nov 11, 2010

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25
Hi,
Seems like you have more than enough answers but I thought I would chime in. Warwick is my area and this last few months have been excessively slow! Since your home did not sell when the tax credit was available, then there is a 99% chance it was priced too high and then proceeded to get stigmatized. Unless you drop your price drastically right now, it will not sell during the upcoming holidays either because this is traditionally a slow selling time. I would suggest, if you don't "have" to sell, to just take a break until the spring. Good luck with your decsion.
2 votes Thank Flag Link Thu Nov 11, 2010
Sflow, what you WILL lose is more value in your home. If you are ready to sell it for even less than you can now, then go ahead and wait. If you want to get the best & highest price possible then you should hire a powerful and aggressive broker to help you do that now, not in February. You have some great agents that have responded here that are willing to help you in that regard. I suggest you consult with myself or one of them before you make a decision that you may regret. joe@joedelsesto.com. Joe
2 votes Thank Flag Link Thu Nov 11, 2010
Hi there, take a little breather for the holidays, interview several agents and allow them to present their marketing plan and pricing recommendations. There may be some light staging suggestions as well. We've had a number of homes in our inventory sit and sit and then once price is corrected and the house staged, bingo, sold.

Dan is correct - it is best to get ahead of the pricing curve. Particularly in a declining market, chasing the market is like falling on a sword - as you have learned. So this go around, get a head of it - if you do, you'll sell for more, not less, than if you don't.

Good luck to you,
Jeanne Feenick
Unwavering Commitment to Service
Web Reference: http://www.feenick.com
1 vote Thank Flag Link Thu Nov 11, 2010
Sflow,
Lowering the price only helps if you lower it enough. If your comparables are at $250,000 you need to be at $245,000. Don't just look at sold comparables, look at active competition. As time goes by, prices have continued to drop in many markets and older inventory sometime gets an unfair stigma.
To guarantee a sale sooner rather than later and for more money get ahead of the price curve. You have to be the best looking, best marketed home in your price range to be successful. Best of luck.
1 vote Thank Flag Link Thu Nov 11, 2010
This first thought on any Realtor's mind is the price. While this can definately be the case and is, at the very least, part of the issue it is not the only issue. When a property sits on the market for a longer period of time it becomes stale. The status of the property will switch to "active" on our MLS system where it no longer appears on buyer's email drip campaign. The only way for it to reappear would be with a price change, addition of photos, or change in information. I agree that, after a certain period of time the house should be pulled off the market. Even if no changes are made to the house itself it should be pulled and then relisted after a little time off the market. Beyond that, interior design makes a huge difference. While there may nothing wrong with the structure or mechanicals in the home it may not be neutral enough for new buyers to envision the home as there own. In many cases, I will go through a home with my seller and we will discuss making small but important changes in terms of wall color, decor and the like. I can honestly say that, in some cases, it has made a significant difference in terms of selling time and price. I hope this helps!
bob
crudalerealtygroup@yahoo.com
0 votes Thank Flag Link Wed Mar 23, 2011
To quote my brother and associate who is known for his candid style: "if it didn't sell, it was priced to high." While that quote lacks the tact I prefer when working with sellers, I do appreciate the honesty. There are other strategies much of which has been mentioned in other answers. Is it still listed? How has activity been?
0 votes Thank Flag Link Mon Mar 14, 2011
I am with Coldwell Banker in Warwick like you. :)

Lori.Rossi@Nemoves.com
0 votes Thank Flag Link Thu Nov 11, 2010
Sflow,
Some information we provide is true across boundaries. You've got some good advice from local RI agents, you would be well served to talk to a few of them directly and decide which direction serves you best. I have a cousin in W.Warwick, so if I get out to visit, I'd be more than happy to drop by.
0 votes Thank Flag Link Thu Nov 11, 2010
There are 7 or 8 here from RI, plenty to chose from. You are in Warwick, correct ? Joe
0 votes Thank Flag Link Thu Nov 11, 2010
Sounds like you are all from different states. I doubt you would just want to drop by another state.
0 votes Thank Flag Link Thu Nov 11, 2010
Sflow,
One thing to consider before you take it off the market. Will it be worth more or less when you return? In many markets prices continue to drop and if this is the case, you may lose more than you stand to gain. Ask your agent to look at the trend for your area. If they don't know how to do this, consider the data on Zillow.com. Zillow is not a reliable source for individual properties, but they are fine when tracking a given area or zip code.
If you have location issues you will have to price off homes which also face similar limitations. If you are basing your asking price off the adjacent neighborhood, you're not using a good comparable. You need to compare against homes of similar size, age and location to make accurate assessments of your data. If your agent has been doing this, consider a change when your contract expires. Find an agent who is successful with similar properties.
You will also have to be patient and wait for a buyer who either wants a non-traditional location or doesn't care.
0 votes Thank Flag Link Thu Nov 11, 2010
Sflow, The factors that come into play when a house doesn't sell is price, location, and condition. You say the condition is fine. Have you had many showings? What has been the feedback? Open Houses? Was it priced to high in the beginning with the hope of it selling? Sometimes if a property stays on the market too long it becomes stale. It sounds like you've been chasing the market, and that's not a good place to be in. I would suggest if you can, to take it off the market for a few months. Put it back on in the beginning of spring, with new pictures, and get an updated market analysis to help you determine the best price. If your not working with a Realtor when you want to relist, please feel free to contact me. I would be happy to do a complimentary CMA for you. Best of luck!
0 votes Thank Flag Link Thu Nov 11, 2010
Good luck Sflow! Keep me in mind when you begin interviewing agents in January-I would love to come by and take a look. I wouldn't wait too long into February-this is when most sellers begin to market their homes and you will have more competition!

Lori Rossi
Coldwell Banker Residential Brokerage
401-480-1973
Lori.Rossi@Nemoves.com
0 votes Thank Flag Link Thu Nov 11, 2010
I would look at the months of supply for properties in your area and in your price range. Anything more than a 10 months of supply would indicate further reductions in value. Also, I would also look at your property's web presence and how active buyers are finding your property. What level of hits does your property have? What are the objections of recent showings? Have you had any Open Houses?

I wouldn't jump to the conclusion that you should take your house off the market. Many homes are withdrawn during the holiday's, thereby reducing the supply - so your house would get more activity!

Please let me know if I can be of any assistance.
0 votes Thank Flag Link Thu Nov 11, 2010
Yes to all of this--I have worked with a realtor and she has run a market analysis. My house is clean and uncluttered and always accessible. I am right outside a nice plan--people have complained I am not in a neighborhood. I am also across from a cemetary. I cannot control either of those factors. I think I will take it off the market during January and February and consider listing with another agent. What can I lose? Thank you all for your responses.
0 votes Thank Flag Link Thu Nov 11, 2010
Take it off the market for the holidays, then put it back on with a clean slate.
0 votes Thank Flag Link Thu Nov 11, 2010
You now have a clean slate. I would suggest that you sit with a Realtor who has created an updated market report. Showing you what is going on with our changing market place. This way you will be able to make decisions based on what is going on now. Good luck and be well
Paul DiSegna
RE/MAX PROfessionals
401-736-6500
Web Reference: http://www.romoves.com
0 votes Thank Flag Link Thu Nov 11, 2010
Sflow, unfortunately it sounds like what happened is that by pricing the house too high at first listing, you ended up chasing the market down. Since the market has continued to lose value due to the numerous short sales and foreclosures throughout the nation, you haven't caught up to it. If you use an average of 1% loss of value per month over the past 12 months (=12%) and subtract 12% of what the value should have been when you priced it the first time, you might get a good idea of value today, and where it should be. If you are still much higher than that number, this is probably where your problem lies. Buyers are looking for the absolute best VALUE in this market, and if you're house isn't it, they are going to buy your neighbors. I would be glad to run some comps for you for free to help you figure that out. Just drop me a line joe@joedelsesto.com. Good Luck. Joe
Web Reference: http://www.joedelsesto.com
0 votes Thank Flag Link Thu Nov 11, 2010
Sflow,
In addition to location, which we can't change, there are four factors that sell a home: marketing, accessibility, condition, and price. And, of those four, the only factor your agent controls is the marketing. You, as the Seller control the other three factors. Your agent can make suggestions to you regarding accessibility, condition, and price, but you, as the owner, have the final responsibility for these factors.

That being said, consider these questions. Are you limiting access by not giving your agent a key, putting a tenant in the home, requiring your agent to be present for all showings, requiring 24-hour notice to show the home, for example? You need to make it EASY for a Buyer to see your home. If they can't get in to see it, there are a lot of other homes they CAN see.

Are you doing your part to declutter and depersonalize the home, to make it easier for Buyers to picture themselves living there? Have you and your agent staged the home? A well-staged home will also photograph better, in both still photos, and a virtual tour, an important factor since most Buyers start their home search on the Internet. For some inexpensive tips on staging your home, you may want to read my blog article on this subject, referenced below:

http://www.trulia.com/blog/maggie_hawk/2010/06/ten_inexpensi…

Did your agent make price recommendations, based on recent sales? Did you follow them? If home values are falling in your market, have you adjusted your price so you're currently priced better than the competition? In most parts of the country, Buyers have so much inventory to choose from that, in order to be the next one to sell, you must offer the best-looking home at the lowest price. This is the reality of our current market.

Your agent might want to do a new comparative market analysis (CMA), so you can see where you need to be priced to be competitive. Also, consider looking at your competition with your agent. Then you'll have a better idea of what you need to do to get your home sold. Selling a home is a joint undertaking--Working together, with each of you doing your part, is how you and your agent will get your home sold. Good luck with your sale.

Warm regards,
Maggie Hawk, REALTOR
Watson Realty Corp.
0 votes Thank Flag Link Thu Nov 11, 2010
If you are no longer under contract with a Real Estate Broker, I reccomend that we sit down together for a personalized consultation during which we can go over your specific needs.
You can reach me direct at 401-641-1663 at any time.
0 votes Thank Flag Link Thu Nov 11, 2010
It sounds like your listing has gotten "stale" if it has been on the market for a year, with numerous price reductions. There may not be anything wrong with your house, but now buyers think that there is because of it not selling. That is the danger of overpricing a home from the beginning. You might be at the correct price now, but buyers are afraid since it has been on the market for long-plus you have reduced your chances of getting close to a full price offer. It looks like you need a fresh start-speak with your realtor (if you have one) and have them do a new market analysis and either relist with them or find another realtor to list with. Good luck! If you need any advise on marketing or help determining price, contact me. I am a local realtor in your area.

Lori Rossi
Coldwell Banker Residential Brokerage
Lori.Rossi@Nemoves.com
401-480-1973
0 votes Thank Flag Link Thu Nov 11, 2010
Hi there, how are you? I hope that you are doing well.

Sometimes, it just requires a different approach.

We have a very good marketing plan that we implement for all our customers, it should work for your property as well.

Here is the link.

http://www.locopro.com/html/Real%20Estate%20Property%20marke…

Jorge Muralles
Newport Real Estate
http://www.ripropertyvalues.com
401-855-1335
Web Reference: http://www.locopro.com
0 votes Thank Flag Link Thu Nov 11, 2010
Talk to your Listing Agent for advice. You need a CMA (Comparative Market Analysis) from him/her to see how you compete with other like homes on the market. The situation may be that you need to reduce the price again. But, that could put you in a short sale position, if that price is below your mortgage balance. Do you HAVE to sell home or do you just want to sell? If you just want to sell, you may need to wait until the housing market improves where you live. Again, I suggest that you have a serious discussion with your Agent.
0 votes Thank Flag Link Thu Nov 11, 2010
Clearly 'some'-thing is wrong with it, or it would have sold.

That 'something' could be the price (just because you've lowered it, doesn't mean you've lowered it to within the range of a true selling price. It could be condition, location, maybe the wrong school district, maybe it doesn't show well, maybe it's located too close to a busy road, or high tensions wires... or maybe there have been too many short sales in your neighbourhood and buyers are nervous.

There are just too many possibilities for any of us, who are not familiar with your listing, and are not working within your marketplace. If you're currently working with a Realtor, this maybe a good time to ask her/him that same question. Have her run a new market analysis, and ask her to show you what went wrong, and what her suggestion would be IF you decide to continue to list with her.

In the meanwhile, you might want to ask the same question of 2 or 3 other Realtors in your marketplace. See if you can build a consensus.
0 votes Thank Flag Link Thu Nov 11, 2010
Alan May, Real Estate Pro in 60201
MVP'08
Contact
Are you working with a realtor? Are you aware of the comparables and also what you can buy for the amount you're asking? That's a good thing to look at, since buyers are looking at that too.
If you're not working with a realtor don't be afraid to ask for help. You dont have to hire the first one you talk to just the one you want to work and you think can get the job done!
Good luck!
0 votes Thank Flag Link Thu Nov 11, 2010
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