Scott Sowles

Wow! What a great question.

First answer is yes, someday it will come around, again, and it's going to be very, very painful for buyers that have gotten used to sellers worshipping at their feet.

Now, here's how to get full price. Certainly full price, less concessions.

A long time ago, in a galaxy far, far away – actually in our SE Michigan market less than 5 years ago - a buyer would be standing in the kitchen of your home that just came on the market and they'd be worried. They love your home and are excited about it. While they've only seen a few homes (and there are only a few more available) they really feel good about your property. They'd be worried that if they didn't take action quickly they would lose your house because another buyer would buy it out from under them. They would know that if they didn't act quickly someone else would get the property. And if your home was priced right and really attractive they'd probably end up in a bidding war, paying more than asking price. And the buyer was worried about that too!

They felt fear.

Ok, so how does this fantasyland galaxy far, far away apply today?

The key is the fear. Right now it seems like the sellers have all the fear. The sellers are the only ones who are worried. And the buyers love every minute of it.

The fear must be transferred back to the buyer. The buyer must be worried about losing your property - just like old times. They've got to want your home and know that, if they don't take action quickly, someone else will buy your property! Sure maybe they won't be as worried as they used to be, maybe there may not be a bidding war but they have to feel worried about losing your home all the same.

The coaching you get from your Realtor is more important today than it has ever been before. If you price your home aggressively, stage your home for maximum impact and market your home so its benefits are clearly visible you can regain the strength you feel you've lost. Today's sellers have to get back to "worry pricing" where the people worried are the buyers.

Hey, I know this may sound crazy or impossible. In a sea of listings why would any buyer feel this way about a listing? But let me tell you something; in this market until a buyer feels this way about a listing they won’t do anything - other than this lowball crap that drives everybody crazy.

When your listing agent thinks your home is a fantastic listing you're close.
When the other agents at their office think it's a great listing you're really close.
When 3 out of 4 buyer's agents that show your home say your home is a great listing you have power.
Force the buyers to take action or fear losing your home and you win the game. You sell your home when others around you fail.

The question is can you afford to list it aggressively. Will you pay a home stager and then do what they recommend? Will your agent market the home correctly?

In your best, "Yoda" like voice say, “upon these things much will depend".

Take heart! It can still be done! - Fri Sep 5 2008, 07:12

I applaud you for considering staging. Many people watch the TV show(s) on staging, agree that it's important and then refuse to invest the money to have a stager help them.
My home stager does a great job at a reasonable price. Her name is Heather Roberts. You can reach her at 248-842-5979 or online at http://www.TheEnglishTouchOnline.com. Tell her Scott sent you.
Good Luck! - Thu Aug 28 2008, 11:10

Jeff,

In our area I believe the problem was with Louisiana Pacific siding. If you have the problem I'm thinking of it began with improper installation. In order for the siding to last and for the warranty to be supported the siding needed to be completely sealed from moisture. Most contactors didn't know or bother to follow the guidelines for proper installation so moisture easily got into the cracks or nail holes,quickly destroying the siding. It was an expensive repair and eventually got legal. Here is a link that may help you out:

http://www.sidingsolutions.com/pages/classtat.htm

If I can be of any additional help please contact me directly. - Thu Aug 14 2008, 14:15

Unless your home is priced right there is no point in answering this question. Assuming that it's priced right then the following becomes important:

Your question, rephrased, is this: What has more impact on my sale - a listing price that's 2% lower or an $8,000 incentive for my listing agent to make sure my house sells?

I can't answer for all agents, I can only answer for myself. I charge the 3% because I earn it. I use the same floor plan tour that Derek mentioned below. I highly value showing feedback and pay an assistant to help me compile feedback from more than 80% of our showings. I have invested heavily in photography equipment so that I post a large number of superb photos online. And by online I mean over 60 web sites - not just the same old sites that the IDX and Realtor.com provide. I place color, laminated flyers in front of the home and feature books inside. I do much more but you get the idea…

The bottom line is that, since the marketing I just described drastically helps get your home sold, you should be paying your listing agent the full commission. However, if the listing agent is just doing the 3 "P"s - Put in the MLS, Put up a sign and Pray then go with the price reduction.

If you're considering other agents I'd like to interview for the job of selling your home. I think you'll be impressed. - Sun Aug 10 2008, 16:47

Wow. I love the information and opinions that are shared here. It's always great to see the different directions the answers sometimes go.
For the record, when looking for a buyers agent I recommend that you look for these attributes, skills or abilities, in order of priority:
1. Most important: Integrity. Trust continues to be the number 1 criteria that clients use to determine which agent they should use. Sometimes this is a mistake. If I use my Aunt Hilda to be my agent because I love her it would be a big mistake if she only sold 1 home a year. What you need is an experienced agent that respects you enough to value your business now and into the future. Your agent should easily be able to differentiate themselves from other agents. This makes it easy for you to trust them
2. Next most important: Ability. Look for experience, training, negotiating skills and a track record of successful transactions and happy clients that use them over and over again. They don't have to be the top agent in the area but they should be near the top or on their way there.
3. Most agents wouldn't think so but I believe an agent that is tech savvy is important. If speed becomes critical to a your puchase then email, text messaging and a laptop computer (preferably a Tablet PC) may make the difference between you getting the home you want and missing it to someone else.
4. Local to the market. Using an agent that lives in Walled Lake may be important to you but I'd say it's not nearly as important as Trust and/or ability. In most cases a great agent who lives 20 miles away beats a good local agent. If you have a relationship with a great agent 20 miles away that' you trust you've got a winner.
5. Make sure you and your agent can communicate well. If you prefer text messaging and email make sure that fits with your agent.
Hope this helps. If you need any more information fell free to contact me directly. - Sat Aug 9 2008, 16:49

Vince,
You should contact me! Oops! Was that out loud?
The question is do you want to deal directly with the sellers agent, who will be working against you, or do you want a buyers agent that would be working for you. Keep in mind that the commission will generally be paid by the seller so there is no cost to you either way.
I'd suggest that you get yourself a competent buyers agent that you have confidence in as soon as possible.
Me! Oops, there I go again.
One other thing - don't let the listing agent show you the property. If you do that you will jeopardize the commission of your buyers agent.
If you'd like more information please contact me directly.
Good luck! - Sat Aug 9 2008, 13:43