Have you ever gone past a house with a For Sale sign on it? Then ten weeks later you happen to drive by that same house and notice the sign is still there. It looks like a nice home, other homes in the area have sold.
What is wrong with this picture? Why hasn’t that house sold, while others in the neighborhood have?
Good question! There are five major reasons this can happen to you.
Ask any realtor the reason why homes don’t sell, and they will agree: overpricing. Many sellers test the market by setting their asking price above what their listing agent advis- es, based on sales prices of comparable nearby homes. Unfortunately, overpricing usu- ally discourages Realtors and their buyers from even looking at the house, much less making an offer. An overpriced home usually indicates a frivolous seller who is obvious- ly testing the market and will sell only if a foolish buyer offers to pay close to the inflat- ed asking price. To avoid overpricing, listen to your real estate agent’s recommendation. He or she will have done their homework and prepared a CMA (comparative market analysis).
This CMA will show you recent sales of comparable nearby homes, asking prices and selling prices. Your agent also knows the area and is very familiar with what the real estate market is doing at any given time.
The market today is fast-paced and can change in a very short time. You and your agent should meet every 10 to 14 days and re-evaluate how market conditions are affecting the sale of your home. Your asking price should take into consideration any drawbacks of the home that you as a seller can’t or won’t correct.
2- Condition of the home
Your home’s condition is the second most important reason a residence doesn’t sell. Since most home buyers want a home in near perfect condition, it pays to fix up a prop- erty before selling rather than discounting the price to compensate for repairs that will be needed.
Painting inside and outside is the most profitable improvement a seller can make. Other inexpensive improvements include new light fixtures, new carpet, and fresh land- scaping.
Since most buyers are not looking for fixer-uppers, they usually demand price reduc- tions to compensate for the work they will have to do.
3- Undesirable location
The location of your home is one of the most important considerations. Noisy traffic, a high crime rate, poorly maintained surrounding homes, or nearby unattractive com- mercial buildings are major detriments to the sale of your home. If your home is not in a great location, you might have to face the music and price accordingly. Another detri- ment would be a lack of nearby parks or poor schools. Families with children avoid areas with poorly ranked schools, no matter how attractive the home. Top quality schools help sell homes and keep home values rising.
4- The listing agent
Co-operative, friendly, enthusiastic and flexible listing agents are an advantage for sell- ers. If you choose carefully, you know you will have selected the right agent because not only are we friendly and enthusiastic, but we work for a company that can produce more buyers than anyone else! Lazy listing agents merely obtain the seller’s listing, put it into the local multiple listing service and wait for a buyer’s agent to sell the home. In today’s competitive market, that is not enough to sell a home.
5- Marketing plans
In addition to the M.L.S., we put our listings on the internet to attract out of town buy- ers, arrange tours (broker previews) for other local real estate agents, hold an office pre- view and Open Houses when necessary. We advertise weekly with full color ads every Saturday and Sunday in the OC Register and the LA Times. First Team has a four million dollar advertising budget that generates more buyers for your home than any other broker. We have Southern California’s number one, full-color home buyer’s magazine. We advertise in local real estate magazines and periodicals, and we network with the top agents who represent buyers.