Is your home languishing on the market, with no takers in sight, or have you just ventured into the world of real estate listings, eager to ensure a swift sale? Regardless of your circumstances, nobody wants their property to remain on the market longer than necessary.
During recent research, I stumbled upon a surprising number of homes that have been available for purchase for more than a year. This is a rare sight in today's red-hot housing market. In fact, most regions across the United States boast a four-month absorption rate, meaning that if no new listings emerge today, it would take less than four months to clear out all existing listings. So, what's the story behind these houses that have stubbornly clung to the market for 300 to 400 days or even longer?
Let's delve into the key factors that can explain why your house isn't selling:
Notice that I didn't include the condition of the property in this list. That's because, when priced right, the condition matters less. It can be a fixer-upper, a cluttered hoarder's paradise, or even in dire need of structural repairs, but the right price will still attract buyers. Investors are always on the lookout for properties to flip, and if the home's price aligns with its condition, someone will take the plunge. If your home requires substantial cosmetic or structural work, pricing it similarly to a move-in-ready property in the same neighborhood will result in a stagnant listing. To maximize your home's value, you need to position it competitively against similar properties in your vicinity. The best approach to pricing is to study comparable properties and then set a slightly lower price than your closest competition.
Location is an unchangeable factor that property owners and sellers must contend with. You might find yourself living next to a landfill, beneath a busy airport's flight path, or right under towering power lines. These are realities that cannot be altered, so your pricing strategy must account for them, and you need to remain flexible. If your property is adjacent to a noisy freeway, consider installing a privacy wall or upgrading your windows to minimize the noise. Identify the drawbacks of your neighborhood and highlight its redeeming features to potential buyers.
Sometimes, the challenge stems from the sellers themselves. Are you a flexible seller? It's been observed that sellers who restrict property showings to specific times or days, have rigid demands from buyers, insist on their own listing agent's presence during showings, or impose other stringent showing requirements tend to receive fewer showings and, consequently, fewer or no offers. How accommodating are you towards potential buyers? I liken this to people holding garage sales; you can tell who's genuinely eager to sell their items versus those who are simply looking to make a quick buck. Are you selling an old couch for $300 or are you willing to part with it for $50 just to get it out of your life?
I'm not suggesting that you give your home away, but if you make it too challenging for buyers to view the property, submit offers, or engage in negotiations, you'll likely drive them away. It's entirely possible to achieve your objectives with a flexible and appreciative attitude. Having a real estate agent who understands the art of negotiation can help you secure favorable terms while expediting the sale.
Often, homes languish on the market because owners resist heeding their agent's advice. Remember, your goals are also our goals. We want to sell your home quickly and for the best price possible, but if you disregard our seasoned expertise and guidance, you might find yourself frustrated, unfairly blaming us for the true issues at hand.
So, whether you're gearing up to list your property and want to avoid pitfalls, or you're growing weary of a prolonged listing and are reluctant to embrace reason, these three factors are likely the primary reasons your house isn't finding a new owner.
Author was not paid for any resources in this article.