It’s logical to assume that if something isn’t selling, it’s probably overpriced. But … imagine the following scenario - and I admit, I embellished it a lot to drive the point across - but here goes:
This 1 1/2-storey home, located at the end of a dead-end street in a fairly desirable neighbourhood, had been vacant for a few months. The sign, which was installed on the day of listing, blew over within a few days and has not been maintained ever since. The online posting of this home showed an incorrectly marked location along with a very short write-up and just a few outside photos that were taken on a rainy day. After three months on the market with hardly any calls and no showings, the sellers, who had the home rented out, are baffled at the apparent lack of interest in their home.
What should they do to get some activity going? Drop the price?
Here’s the thing: There are really only two reasons homes don’t sell.
Most people think that the number one reason is that they are overpriced, but that is actually the second reason. The number one reason that homes don’t sell or don’t sell for as much as they could be selling for is that they are under-marketed.
Here’s how you know:
If you have tons of showings on your property and no offers – or just lowballs - it’s overpriced. And you might be thinking, yeah, but what if it’s just a tough layout or location, or ... you name it? And I would say, absolutely! But the reason it’s not selling is that it’s overpriced for that particular property and location. To get some action, you either lower the price or raise the value by improving the condition of the home.
If you have had barely any showings and it’s just overall … crickets … it’s likely under-marketed. Perhaps even a combination of both.
It’s like the GoDaddy commercial. You could be the best shoemaker in the country; if people don’t know about you, however, and you’re not findable in the marketplace, you’re not going to be making too many shoes.
Marketing is anything and everything we do to get the right people in the door - quite literally - to view your home. If your home is hard to find online, incorrectly mapped and poorly photographed and described – which is just the basics – it doesn’t matter what it’s priced at.
And then there are agents who are able to deliver results on a whole different level, and I call that magnetic marketing. The results can be mind-blowing, and I’m thinking that’s what you want … which brings me to the next point: