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Asked by PJF, Denver, CO Tue Sep 14, 2010

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Answers

21
Sean Dougher…, Agent, Fort Collins, CO
Wed Sep 15, 2010
PJF, just a note on how long to "reset" the days on market. IRESis, which is one of the two multiple listing services in the Denver area, has a button to show the listing times for a property going back up to 10 years, so "resetting" the days on market may not help in the way that you think it will. A savvy Buyer's Agent will go back and check for every time the home has been on the market and pass that along to his/her buyer.

That being said, a Buyer without an agent should not be able to see the days on the market on the public side of the property search website.

My suggestion would be an easy one. I'd do the work that you have planned, get the new price, and have your agent list the home with notes that you've done work, or that it's a fantastic new price. Buyers are more savvy than ever, and if they see that you've done a ton of work on the home, without a huge price increase (or even with a reduction) they'll be much more inclined to take a look at your home.

Best of luck to you!
1 vote
Shirley Wilc…, Agent, Westminster, CO
Wed Sep 15, 2010
You pose a very interesting question. Recently, while doing a history search on another home, I discovered that it was on the market for 205 days, taken off the market for a period of time, re-listed with another broker, and has now been on the market an additional 460 days. It has been "refreshed" with newer MLS numbers and the price has been adjusted several times over the past two and half years. As you are hearing from others, the history will follow your listing for years. The buyers are very knowledgeable today. There are many sources for them to do their homework and to see your listing history.

Keep in mind, there are several parties involved in the selling and buying of a home - each with an area of control. As a seller, you have complete control over three things: the price you are asking, the terms you are offering, and the condition of the property. The listing broker has control over the marketing to expose it to the greatest number of buyers and the negotiations of the contract. The buyers have complete control over their choice to buy your home based on the price, terms, and condition you are offering. The buyers will expect two of the three things you control to be outstanding.

A buyer may be willing to pay well over market value If your home is in superb condition and you are offering unbelievable terms (for example: owner carry financing with little or no money down at below market interest rates, no prepayment penalty, and allowing a subsequent buyer to assume the loan with no qualifying). Another buyer may be willing to buy a home in very poor condition if the price and terms justify the purchase. Most buyers are looking for a nice home at or slightly below market value in very good condition.

In order to sell a home in today's market, it is imperative that you have at least two strong motivators for the buyer. It is your choice, as a seller, which two things they are going to be. If you are unable to offer outstanding terms, then the two things left are the price and the condition.

You did not say what you intended to improve, how you were going to adjust your price, or your plans for the listing. Have you received the advice of the listing broker and a home stager and/or decorator about the things that will make your home more saleable? Sometimes a seller will do or spend money on things that will have no effect on the sale or value while "little or no cost" improvements could make all the difference in the world. It pays to have a neutral opinion from an expert. What is the current market in your neighborhood? Have you received showings? What has been the feedback? If you are getting negative feedback on things you can correct, then please do so as soon as possible. If you cannot correct them, then find ways to compensate for them. A home that is not selling is being rejected by the market.

You have received very wise advice from others on this panel. In my opinion, it would not be advisable to take your home off the market at this time. September and October are still prime selling times. Many sellers mistakenly take their homes off the market during the holidays or wait for spring when the flowers are in bloom. Keeping your home on the market will give you an advantage. You will be attracting the cream-of-the-buyer-crop during a time of less competition from other sellers. The seriously motivated buyers will continue to shop regardless of the season or the holiday. Buyers who are just thinking about buying or "kicking tires" may decide to wait until after the holidays. That is OK. They are not serious buyers at this time.

You indicate that you are both a buyer and a seller. You may want to consider making a few concessions on the price of the home you are selling in order to get the home of your choice before the new home price and/or the interest rates go up.

I do not know your price range, but let's use this as an example - (after your down payment)
$400,000 loan for 30 years at 4.5% is approximately $2,027 per month principal and interest.
Total interest over the life of the loan is $329,626
$400,000 loan for 30 years at 5.5% is approximately $2,271 per month principal and interest
Total interest over the life of the loan is $417,616
This is an increase of $244 per month resulting in an additional $87,990 in interest over 30 years

Let's assume you do not want or cannot pay the higher monthly payment
$356,950 loan for 30 years at 5.5% is approximately $2,027 per month principal and interest
You have lost over $43,000 in buying power for the same payment

Gee, I guess there is a lot more to consider that a few repairs and a price adjustment. I wish you the very best for a speedy sale of your home and the purchase of your dream home.

Shirley Wilcoxon 303-420-8900
P.S. According to MLS, 142 homes have sold in the 80246 zip code in the past three years (40-51-51). Prices declined 13.2% two years ago and 8.3% the past twelve
1 vote
The Kinslow…, Agent, Centennial, CO
Tue Sep 14, 2010
Hello PJF,

Do the work, adjust the price and assign a new listing number. I think most Realtors pull the listing history for their Buyers, so really all you're looking for with the new listing number is stirring up some new interest. If the marketing is good and the home shows well then price is what needs to be adjusted. People here in Colorado, don't seem to be much into negotiating, at least not like people on the East coast. If you put it on the market $20,000 high, expecting people to come in low and meet in the middle, Colorado Buyers won't even look at the house. They expect it to be priced very close to the correct price or they think you're not able to sell at fair market value.

A little story about good marketing compared to poor marketing. I had an Investor very interested in a property that was bank owned. We all knew the price was really low and the bank kept lowering it more and more. The listing agent didn't have any pictures of the property and had a very poor description, it was in the MLS and that was about it for marketing. That property sat and sat, we all thought it was a great deal but our Investor had just bought another large property and he thought something huge must be wrong with this house since nobody else was buying it. Finally it went under contract and sold for about $450,000. The person who bought it did very little work on it and put it back on the market with tons of marketing,. It went Under contract right away in the $900,000's. Good marketing goes a long way!
1 vote
David Janis, Agent, Boulder, CO
Tue Sep 14, 2010
Unfortunately the history will always be available to anyone seriously looking for a home. The MLS has history for about 10 years or so. To get the days on market cleared to zero you could simply relist your home.

When I take buyers to look at homes I make sure that they know the original list price and date - irregardless of days on market. My point is that resetting days on market back to zero will most likely not solve the problem you are trying to solve.

Professional recommendation:
1) Get stuff done that you KNOW will help sell your home (speak with a professional about this)
2) Use brand new professional photos (I'm serious about this)
3) Relist your home like it is a brand new listing at a lower price (raising the price will not work trust me)
4) If you did everything right then home will sell; if not re-examine in 30 days
1 vote
Janet Nation,…, Agent, Garden City, NY
Tue Sep 14, 2010
Assuming Chirs below is right, you need to do act asap,. Being on the market for 250 days means you have a very "style" listing. I don't think the local agents are going to rush to show you home because of some minor home improvement, just price it right, get it sold, and move on already.
1 vote
Marianne Ban…, Agent, Englewood, CO
Tue Sep 14, 2010
Can't your listing agent answer this question? If not you are in trouble. The answer is that it has to be off the market for 30 days, before you can relist with a new counter for days on market.

Or if your listing has expired, maybe you are looking for a new listing agent? If so contact me for an honest, unbiased opinion on what it will take to get it sold. Our team will sell close to 100 homes this year.
Web Reference:  http://www.BandyHomes.com
1 vote
ruby smith, Agent, San Francisco, CA
Wed Sep 15, 2010
What ever youe local MLS dictates. What does your agent say the rules are. Or call the board of realtors yourself or google it
0 votes
Deb Goetz, Agent, Applewood, CO
Wed Sep 15, 2010
Hello PJF,

To reiterate what a few others have replied with-- You have to have your home off the market for 30+ days for the "days on market-- DOM" in the MLS to reset to zero. Though as many agents have also pointed out-- a Buyer with a good Buyer's Agent will know the history no matter what, so don't try to hide it--

I like your plan and the additional comments Agent Sean said below. 1. take it off the market for 30 days, gives you a comfortable time-frame without interruptions to make repairs, 2. complete any improvements (1st consult with your agent about these changes as he/she should be able to guide you with what is worth changing or improving to obtain your best return-- a little bit of paint goes a long way!) 2. Determine your new price-- higher? same? lower?-- again, your agent should offer valuable guidance in this decision, and 3. Market the home w/ new photos and comments about the work you have done and the new price that goes along with it.

If you are considering changing representation-- I would be happy to meet and give you additional support and guidance in this process, list and sell your home!

Thank you and good luck!
Deb Goetz
Realtor®, GREEN Designation
Weichert, Realtors Unique Homes
Direct: 720-628-9502
Web Reference:  http://www.debgoetz.com
0 votes
Dp2, , Virginia
Wed Sep 15, 2010
Get the current comps for your property, walk your comps, factor in the price trending, and make sure that you'll actually see a return on that investment before making those changes.

Also, realize that playing games with the DOM will only affect some buyers. Savvy buyers will be able to obtain cached data (apart from the MLS data) regarding the listing history of your property.
0 votes
Tim Gibbs, , Centennial, CO
Wed Sep 15, 2010
I called Metrolist a couple of months ago regarding this exact question and they told me it needed to be off the market for 30 days.
0 votes
Brian Burke, Agent, Highlands Ranch, CO
Wed Sep 15, 2010
It is 30 Days, Then you have do do a new listing. Do not re-fresh the old one. It wont reset if you do.
Brian
0 votes
Denise Colli…, Agent, Glen Mills, PA
Wed Sep 15, 2010
PJF,

I am traveling to Denver this weekend to look at homes. I am a Real Esate Agent in PA, and have a friend looking to move to the Denver area. Let me know where your home is, as it may fit his needs. Thanks Denise Maggitti Collins. denisecollins@remax.net
0 votes
Robert McGui…, Agent, Denver, CO
Wed Sep 15, 2010
PJF,

You need to have the home off the market for over 30 days to clear out the accumulative 'days on the market'. I would suggest you do that while you are getting the things done. It is always good to start fresh and not have a 'stale' listing. Doing both of these things should be a big help.

One way to consider if it is priced right is to have 2 - 3 showings a week minimal and positive feedback. Depending on where you live a 30-60 day time frame for an offer is not unreasonable. Let me know if you would like for me to come out and help you with determining what things would be the best to do to get the right response and the most return on your invesment in updating.

Robert McGuire
Realtor/Consultant
Your Castle Real Estate
http://www.rmcguire.yourcastle.org
http://www.theRobertMcGuire.com (blog)
Direct - 303-669-1246
0 votes
Dan Tabit, Agent, Issaquah, WA
Tue Sep 14, 2010
PJF,
I agree with many of the comments below. The “days on market” is not a prohibitive issue if you have done everything else right. If you are off the market you may miss the one person who is looking for a house just like yours.
Do the improvements and if necessary have your agent note them in the comments, i.e. "new roof being installed, check before showing."
After 250 days you are a good testimony to my basic rules, be the best looking, easiest to show, best marketed home in your price range. If others homes within 5% of your price are selling and yours is not, either improve your home or lower your price. If you have an issue you can't change, it will just take time for the right buyer to show up. If you are off the market, you might miss that buyer.
0 votes
Ethan Besser, Agent, Englewood, CO
Tue Sep 14, 2010
Hi PJF,

Thank you for your question! If you take your home off the market for 31 days, it will reset the days on market to zero. So if you take it off the market and make the changes over 30 days or more, it will show up as 0 days on the market.

Good luck selling!

Ethan Besser
Keller Williams DTC
0 votes
Pete Cook, Agent, Denver, CO
Tue Sep 14, 2010
I would make the changes your feedback has suggested, price it right and just refresh the MLS number. Keeping it on the market at a price that is generating showings is more productive that hiding a month for a new number. Best of luck!
0 votes
Toni Anderson, , Beaumont, CA
Tue Sep 14, 2010
Don't take it off the market. Change the MLS and add the upgrades you intend to incorporate and put in the completion date.
#1 it will spur interest to see what you have done,
#2 you can always adjust the price and advertize a new price in MLS and on broker signage.
if your home has been on market for 250 days without an offer, it wasn't priced right to start with, a simple renovation such as paint etc is not going to justify a price increase or move your home any faster.
Have your agent review the home sales in your area and adjust your asking price accordingly.
0 votes
Jack Frost, Agent, Highlands Ranch, CO
Tue Sep 14, 2010
If you take it off the market for 31 days it will have a new MLS number when you list it again. The market slows down from Thanksgiving to early spring. When properties don't sell in a reasonable amount of time they are usually over priced.
Scott Branning
Associate Broker
303-803-4299
Web Reference:  http://real-estateco.com
0 votes
Noreen Doyle,…, , Denver, CO
Tue Sep 14, 2010
The fall is a ripe selling season and if you take the property off the market you could miss a selling opportunity. Additionally, any broker can look up original list date and see that you took it off the market to reset the days on market. A home that has been on the market over 4 months in the Denver market must look at factors within the home such as condition, presentation and price. A realtor that is knowledgeable in your area could help you look at the home with a discerning eye to sell it. Best of luck.
0 votes
Chip Parrish, Agent, Littleton, CO
Tue Sep 14, 2010
31 days.

Chip Parrish
Broker / Co-owner
RE/MAX of Cherry Creek
Web Reference:  http://Urbanlife5280.com
0 votes
Mary Weaver…, , Glenwood Springs, CO
Tue Sep 14, 2010
Ask your broker to cancel your listing and pull it out of the MLS. Then when you are done re-list. At this time of the year it is a big mistake to do so because now that the kids are back in school, many look for a home to buy so the kids are not with them touring homes. It is your last selling rush for this year. I'd suggest work on the house for a week keeping it on the market and work quickly and have a new open house with a new price. Then after Thanksgiving, take it off the market during the holidays and re-list in the early spring if you do not get it sold before then. Good luck.
0 votes
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