Straight talk about expired listings
Call: 1-800-828-8325 for a free consultation
This part of my website is dedicated to helping sellers who wanted to sell their properties with the help of a real estate broker, understand why their properties were rejected by the market and what they can do next.
MARKET DATA:*Take a look at these eye-opening numbers from the last six months in the
can be some truth in that belief, I contend that the correct answer is, "poor marketing" (in which initial pricing plays a crucial role). The fact is that many salespersons and real estate managers have never experienced this type of market. That could certainly explain why there are so many properties that have had their prices substantially reduced; in some cases multiple times and then the process continues with the seller listing with another real estate brokerage; often with the same results. I sometimes wonder where these licensees and some sellers go to get their marketing advice.
licensees are not magicians and shouldn't claim to be. They don´t control the market; supply and demand along with some other factors such as the availability of financing, interest rates and the employment outlook control the real estate market. Your agent should suggest a realistic listing price based on current market data and buying trends, but as the property owner, the pricing decision is yours. Warning: Sellers with strong personalities and the need to get more for a property than it´s currently worth can sometimes convince weaker listing agents to take listings that are overpriced. That strategy would only be beneficial to the seller if their agent was going to buy their property. Buyers and their agents are savvy, shop by comparison and are completely aware of current market conditions.
CONDITION: Deferred maintenance is one of the biggest killers of listings. Think about anything that you buy. Would you pay top dollar for something that is in less than great condition?
Some sellers believe that the "new" owner can and should take care of the maintenance that they have neglected. Buyers who might like your property will offer much less for it or will just move on to another home that has been better maintained. This is also a pricing issue. Sellers should be aware that it is much better for their bottom line to do what´s needed in their home rather than negotiating the price down to appease buyers for needed repairs or upgrades. FYI: A house doesn´t have to look as bad as this one to go unsold. Sometimes just a few minor cosmetic and/or odor issues can sour a buyer and leave them with a negative impression of your home.
EXPOSURE: This covers advertising (print media, internet marketing, MLS, etc.), visual tours, 
signs, lock boxes, brochure boxes, open houses, mailings and ease of showing. I know from tracking my listings that houses with a lock box and little or no notice to show them have approximately 30% more showings! Effective marketing requires the right kind of exposure; it´s important to market properties in places where the buyers are most likely to see them. Once they have found a property in which they have an interest, it´s also important to give them easy access to tour the home.
COMPENSATION: This is an important part of the selling process that is often overlooked
and should be discussed with your agent. Once you have agreed on a sales commission or fee, it´s important to find out how much of that fee or commission your listing agent is offering cooperating agents to show and sell your home. Inadequate compensation will discourage and deter buyers and their buyer agents from wanting to tour and purchase your home. In my opinion, some of the homes that failed to sell didn't sell because their listing agents and/or their sellers didn't offer proper compensation incentives.
NOW WHAT?
Now, you must decide if you really need to sell your home! If you purchased your home a while ago, you probably have equity in your home which means you will likely sell for a profit. If you purchased more recently (especially during the peak of the sellers' market), you may have to forfeit some or all of of your initial investment and/or you may have to bring some cash to the closing table to have a successful sale. If you purchased during the market's peak and are having financial trouble, making it necessary to sell, you should consider the possibility of a short sale.
Remember that I am available for a free consultation!
Call me Toll Free: 800-828-8325 or email me!
*These numbers were last updated on 5-7-2010. This information is gathered from third party sources and is believed to be accurate; however you must not rely on this information until you have independently verified its accuracy.