Todays “Seller”

So you are looking to sell your house.  What does the typical “Seller” look like today?  Well it depends on where in the selling process you are.  It really makes no difference your circumstances.  Pretty much the pattern is the same.

Phase 1. The first thing that happens is that the “Seller” is in denial about the value of their home.  They think their home is worth more than it really is.  Of course no one wants to leave money on the table so the asking price usually starts off inflated.  For some reason they think they can buck the trend of all the data that supports the opposing view.  Time is all it takes to bring the “Seller” to:

Phase 2,  Have there been a lot of showings or have showings been far and few between?  It is very easy to blame the Realtor for not doing a better job of marketing the home.  It is easier to place the blame there, than on the inflated price of the home.  If there are lots of showings it becomes a little more difficult to blame the agent.

Phase 3 happens when the agent suggests a price reduction or a “Buyer” comes along with a low-ball offer.  The “Seller” is now frustrated maybe even angry or offended.  After all, their home, is definitely worth more than that.  If the “Seller” is smart they will get over this and try and negotiate the deal.  If they’ve had lots of traffic it may be easy to let this one go and wait for the next offer to come along.  The odds are against them though.  It has been my experience in this market that the best and highest offer usually comes along first.  Will this be a missed opportunity?

Phase 4 happens when the “Seller” finally gives in and starts making the move to reduce the price.  There are only 2 things to look at when it comes to real estate, price and condition.  There is not much else you can change at this point and still make financial sense.  So now the home has been on the market for awhile all the initial interest in the property has long but vanished.  The “Seller” may even think it is time to change agents.  The funny thing is, with the new agent, often comes a new realistic price for the property.  Too bad for the agent that spent all their time and efforts to loose the listing.

Phase 5, the final phase.  The “Seller” has given in, they are tired and worn down.  It is often at this point the sale finely happens.  They may even take less than that first low-ball offer.  This is after all, a “Buyers” market.  The interesting thing is, on average, homes sell for 96% of last asking price.  Doesn’t it make sense to just price your home right from the start?

As a Realtor, I have grown accostumed to this pattern.  I don’t think any less of the “Seller” for this.  Maybe, that’s because if I didn’t know better I would probably do the same thing.  Selling a home is a big deal.  The great agent is the one that has a competant marketing plan, a good ability to communicate, and a lot of patience.  Patience is the big key because every “Seller” works through this process at their own pace.  The great agent is not detered by this.