8 seller beliefs that are no longer true, and probably never were My take on an Inman article by Care Ameer 1. If I price it high, they will still come Oh, if I had a nickel for every time I heard a seller say, “We can always bring it down.” NO YOU CAN’T. By the time you realize you’re high, you’re stale in the market and people start wondering what’s wrong with the house. Also, sellers at this point want to blame the marketing, photos, video, anything but the price. 2. Open houses bring ready, willing, and able buyers Not so much. People do their cruising these days ONLINE. The serious ones have agents who will make an appointment. You don’t need every nosy neighbor and anyone who just happens to be driving down the street to come check your decorating or case the joint. I still do Brokers’ Opens, but have not held public open houses for years. Once they get over their surprise, my sellers LOVE THAT! (Just FYI, the big benefit of public open house is for the agent, who just might pick up a buyer—for another house.) 3. I don’t need to fix up my home before putting it on the market. “It is what it is.” Folks seem to get it that if you want to sell your car you clean it up, maybe have it professionally detailed, replace the broken headlight, etc. Why? BECAUSE IT SELLS FASTER and for a better price. Unkempt houses—or cars—make people wonder what else is wrong. If they offer at all, they’ve probably way over-estimated the cost of repairs and built that “discount into their offer.
Sometimes sellers think they’ll fix things if a buyer balks. Nope. You get ONE CHANCE at a first impression and those photos and videos and virtual tours all over the internet better look great and the house better look just as great when a prospective buyer arrives. You don’t want to sit on market too long and end up on the “Discount Rack” of real estate. [Just FYI, I have helped many a seller with financing the needed paint job or physically pulling weeds or painting, and wow, have I learned some cleaning tricks. It’s important to get the prep done, one way or another.] 4. They don’t care how much you spent Sellers tend to think that the money they put into that high-end kitchen or in-ground pool or dazzling spa bath will come back in the sale. It won’t. If it’s way over the top for the neighborhood—all the tech and outdoor kitchen and beach entry pool—you’ll get a bit more than a less dazzling home, but nowhere near what you spent. In Hawaii, I strongly advise people who want a swimming pool to buy a house that already has one, as it adds maybe $5,000 to the purchase price but costs a minimum of $60,000 to install. Some improvements are, as we say, “taste specific.” Might have cost thousands, but most buyers only see the thousands it will cost to make it go away. 5. They want WHAT?
Some sellers aren’t prepared for the very typical request for repairs after a home inspection. Smart sellers have a PRE-INSPECTION and take care of the issues that come up BEFORE listing the property. That generally takes away the ammunition from a buyer who might try to use the inspection to renegotiate price. Even when the contract has an “As-Is” addendum, buyers are going to ask for any health and safety issues (electrical, plumbing) to be addressed. Expect to make repairs or allow credit toward buyer’s closing costs.
6. I’ll offer a flooring allowance at closing
No you won’t. Not these days! Lending laws won’t allow it. As with repair credits, you’ll either have to reduce the price or pay a portion of the buyer’s closing costs. If at all possible, JUST FIX IT BEFORE LISTING. 7. More marketing means more buyers willing to pay my price While you do want the widest exposure, price is a factor. Price, location, and condition. You have control of 2 of those.
As one of my favorite real estate gurus says, you can blast brilliant advertising for $20 bills in every newspaper, magazine, TV, radio, and website in the world, but you’re still not likely to get anyone to buy them for $50. 8. Every buyer who sees my home must want to buy it I don’t think this was ever true. Some know exactly what they want, most don’t know it until they see it. Couples often list different “must haves”. Buyers new to the area may need to see what’s out there. (Buyers new to Hawaii definitely need to adjust to single-wall construction and relatively small homes by Mainland standards.) Buyers these days make their first “visit” to a property online. They weed out homes that won’t work for them. Buyers tour fewer homes in person before making a buying decision and, happily for sellers, fewer potential buyers actually tour their property. In general, properties I list have fewer than 10 in-person showings before an acceptable offer comes in. If there are more than 10 showings with no offer, the price needs to be adjusted. *9. (Bonus) How to sell a house: DECLUTTER. CLEAN it up. FIX it up. PRICE IT RIGHT! Work with a great agent who can help you get it done, stage it right, market smart, and get you top dollar for your biggest investment.