Pricing a home to sell has always required a balance between science (looking at comparable sales and current competition) and art (determining the initial market positioning and key marketing features), but today it is more important than ever. With roughly 60% of all MLS-listed homes failing to sell over the past 365 days, we know how important every part of our progressive marketing program is going to be for the home seller.
Yesterday's blog post about defining "Shadow Inventory" in real estate generated quite a few emails and questions, but it also prompted a response from our recently retired Tallahassee real estate agent, Bill Peck. You see, Bill and his wife Bonnie decided a few months ago to retire and move to Alabama, so we had a perfect situation to see if a Joe Manausa Real Estate agent in Tallahassee would practice what we preach.
After reading our blog on the shadow inventory, Bill wrote (from his new home in Alabama):
Joe, you are spot on. When my wife and I decided to move and wanted to be in a new house in a new location out of state by Thanksgiving, we labored over what we would ask for our home. After checking the current market conditions to determine our competition, we settled on a price (not what we hoped it would sell) that we felt would bring offers. The listing was placed on a Tuesday at 3:00 PM, we had a call within an hour asking if it could be shown the next morning Wed. at 11:00 AM, an offer was received later that same day which was countered, on Thursday we had a fully negotiated contract. This in a market where as you have shown nearly 60% of homes on the market this past year have not sold. I would suggest that any one wanting to sell, needs to meet with an agent who knows the local current market conditions and will price the home to sell, not show. Bill
So yes, Bill practiced what we preach. He knew that pricing a home to sell today was critical, so he did just that, and implemented the best progressive marketing plan to get the home sold. He and Bonnie were able to move on the schedule that they wanted and they no longer have to worry about owning a home in Tallahassee.
Joe Manausa, MBA is a 26 year veteran of real estate brokerage in Tallahassee, Florida and has owned and managed his own company since 1992. He is a daily blogger with content that focuses on real estate analytics and providing his clients with a tactical advantage in today's challenging market.