If you are one of the unlucky people that has had their home on the market for a long time you are probably dealing with a very stressful experience. This is when almost all homeowners will start to second guess themselves and all of the things they have done up until this point. Most of the them decide to reduce the sale price. But is reducing the price of the home a good idea or are you really leaving money on the table in the end?
In this article we will talk about reducing your sales price and when the best time to do it is.
Determining the problem
The most popular time during the home sale process is when your home is first listed. Within the initial weeks, the home receives the greatest amount of interest because it is new on the market. Thus, home buyers will call asking for showings, go on a greater number of visits, and there is the highest potential of receiving an acceptable offer.
However, after the first two or three weeks and you still have not received the right offer, it is easy to become anxious. However, the number you should really be looking at is the average days on market or DOM. The average days on the market (DOM) will tell you the average time it takes for a home to close in the current local real estate market. This will give you a good idea about how long you can expect your own home to sit on the market before the end date. If your home is nowhere close to that date, then your worries may be unfounded, but if in fact, your home sale is steadily reaching or have already overstepped the DOM value, then it's time to seriously rethink your home selling strategy.
Do some research on the buyers that have come and gone to see their buying behavior when they look at your home. From there, you will have a better idea about how to redo your efforts, including reducing your sales price if necessary.
Plenty of showings, but very few offers
If your home receives plenty of traffic, then it means that your marketing efforts are effective. However, even with the number of showings, if you find you are receiving little to no offers, then the price might not necessarily be a problem.
It may be that the home buyers are finding something about the home that turns them away, or your marketing fails to deliver. For example, if your listing states that you have a huge backyard but in fact, it is pretty small in comparison to your neighbors, then buyers may look and then move on from your home. On the other hand, if there is a major fix that makes buyers walk, consider quickly repairing the damage or lowering the price of your home accordingly.
No Showings And No Offers
Maybe you are someone that has had very little interest in your house either the entire time, or a good period of time. This could be caused by a couple of different things.
The most popular culprit is that the sales price is too high. Perhaps, the price was competitive a few weeks ago when the market was hot, but as time wore on, the market value had dropped and now the price sticks out like a sore thumb. Perhaps, it was overpriced from the beginning because you or your real estate agent were sure it could be sold for that amount.
If you find that the price on your house is near the bottom 25% of the market then there is a good chance there is something else wrong other then the price. This is when you will want to talk with your agent about what type of marketing has already been done on the home. Remember no one can buy your house if they don't know about the sale of your home so you may need to rethinking your marketing campaign and what things sell a house fast.
Article Source: http://www.abcarticledirectory.com
You should start on our blog if you want to learn how to sell your house fast. We have a blog packed full of a lot of great stuff for first time home sellers. If you want a fast home sale at a minimum cost you need to check us out.
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