Secrets to the South Bend Area Housing Market
On many of my listing presentations, people ask me how Assist-2-Sell has had so much success selling homes when, seemingly, many other agents and companies are struggling. I don't really know if that is true or perception, but we DO have a deliberate method to selling homes. Nothing about our approach is "hands off". Here are the keys to a successful home sale that we have learned over the last few months:
Use Price as a People Dam" - Your objective with your pricing should be to regulate the amount of buyers that cross your threshold - similar to the way a water dam regulates the flow of water. A price that is too high will result in a people flow that is too low. A price that is too low will result in a high volume of people coming to see you home. This will include people that are less qualified buyers and those who are not really serious about buying. Your home will probably sell very quickly, but you will leave money on the table. You want a steady flow of buyers of a certain number per week. Your agent should know what a good showing rate is.
Don't make the mistake of pricing your home for "negotiating room". The only real relationship between your asking price and your final selling price is that the asking price usually acts as the ceiling.
Don't price your house trying to recover everything you have spent on it. Listen, it is only a myth that everything you add to a house increases, or even maintains its value. Improvements to a house depreciate in value the same way everything else does. You should not expect to raise your house $20,000 over close comparables because you spent and extra $20,000 in improvements.
Market Aggressively - Sellers need to be involved to really understand how their homes are being marketed. This is the time to talk DETAILS. It really doesn't matter what company you use or what agent you use. Buyers don't shop for homes listed by XYZ realty or listed by Agent 123. But, there are certain marketing techniques that have PROVEN responses from buyers. Sellers need to ensure their homes are capitalizing from that research.
Know the Market - You have to watch the market each day and understand where you are positioned. The value of a home moves similar to the value of a stock. It is heavily influenced by the movement of other homes on the market. You need to have a real-time understanding of how competing houses are moving. You also need to know where your buyers are coming from. You need to know what your feedback is and how it relates to other information about your home.
This is the key to selling homes in this market. We find that when our sellers implement these principles consistently, the sell. When they don't, they sit.
The Only Thing Assist-2-Sell® Discounts is Its Price
It's been over 20 years since Assist-2-Sell® began it's "Full-Service with $avings!"® program, saving consumers a significant amount of money without eliminating any of the service and support they need.
Although we are typically a Seller's best friend, it's impossible to escape the competitive nature of our business and we are constantly hearing misinformation put out by our competitors. I just laugh when people say we aren't "real" real estate brokers because it's simply not true. We do everything "traditional" real estate companies do, we simply charge less. It feels great offering excellent service at an excellent value.
Assist-2-Sell's experienced brokers and agents handle everything throughout the entire process of selling a home, including:
- Helping price the home accurately;
- Implementing a targeted marketing campaign aimed at reaching active homebuyers directly-online and offline;
- Utilizing the MLS, as appropriate, as a marketing tool;
- Taking all phone calls;
- Showing the home to prospective buyers;
- Arranging for other agents to show the home;
- Pre-qualifying homebuyers;
- Helping the homebuyer obtain financing;
- Negotiating the purchasing agreement;
- Writing the sales contract;
- Handling all paperwork;
- Meeting with appraisers;
- Arranging for all inspections; and
- Supervising the closing.
Home sellers pay a low, flat fee, instead of a percentage of the home's sale price, only after their home has sold.
We participate fully with area real estate agents and we thank the hundreds of agents that have shown our homes in return. Yet, we are completely aware of the pressure our powerful program puts on our competition. But, we are here for the Sellers. In fact, our Co-Founder, Mary LaMeres-Pomin, once stated that the Assist-2-Sell model was born out of frustration with the way real estate was being practiced. "Home sellers had little choice but to pay high commissions with no assurance they'd receive high value. Because so many agents were struggling to secure their next listing, they spent less time marketing homes and more time marketing themselves." Consumers were unhappy and a lot of agents were unhappy as well. We wanted to create a system that not only produced satisfied customers but also helped agents be more successful."
Because we are here with a mission to be the most Seller Friendly real estate company, we think every seller owes it to herself to sit with us and examine our system before choosing a real estate company. Frankly, it would be financially irresponsible to make a decision worth thousands of dollars without looking at the facts personally. There is a reason that most sellers that sit with us choose us. It is because, from price to service to results, we are the most Seller Friendly real estate company in this area
Ten Things You Should NOT Do To Sell Your Home in a Tough Market
10. DO NOT Try to sell "By Owner." Trust me, I am not just saying this just because I earn my living selling homes. The fact is that if you want to sell your home, you need to market your home where buyers are looking. Because of the internet, gone are the days where buyers are beating the streets following directional signs to find new homes. They are shopping the internet and most of the popular internet sites only market homes represented by real estate professionals. Transferees coming in to this market almost always work with a Realtor.
9. DO NOT Defer maintenance items. If something is broken, FIX IT. No Discussion! Buyers today have lots to choose from and they don't want buy YOUR problems. If you think it is minor or should be expected with the age of the home, well...you're wrong.
8. DO NOT Leave "updates" like removing gold flocked wallpaper or replacing the stained carpet." New home construction is expanding. No matter where your home is, chances are you will be competing against nearby new construction or homes in younger neighborhoods that show very well. Your gold flocked wallpaper will stand out like a sore thumb during the showing and make the competing home look even better. You will get a "sorry, won't work for my buyers". Your competitor will get the offer.
7. DO NOT Listen to your neighbors when they tell you to price your home a little higher. Sure, they want to protect their investment; and, of course you don't want to "give the house away." But, Buyers determine the market - not your neighbor, not your realtor, and not you. Price your home in the range they expect if you want them to come see your home.
6. DO NOT Hire your mom's sister's cousin's son-in-law's aunt to represent you. It is important to hire a realtor that understands the local market and has a comprehensive marketing plan to match market conditions.
5. DO NOT Leave your die cast race car collection set up in the den. Highly personal items are a distraction for home buyers. As much as you may love that collection, you'll love it even more in your new home. You want them to judge your house, not your taste in collectibles.
4. DO NOT Hesitate to make a price change when you know one is warranted. Market conditions are changing as quickly as MONTHLY. The market value of your home next month could be significantly less than the market value this month. Waiting 1 extra month to make a price adjustment could mean that you will have to adjust even lower to find market value or that your price change will be ineffective.
3. DO NOT Make showings inconvenient for the buyer. My rule of thumb is that a postponed showing is a cancelled showing. Sorry, but every showing right now is more valuable than your family dinner. Pack up the kids and the dogs and head over to your favorite picnic area. Don't refuse or try to reschedule a showing because, in all likelihood, that buyer will never come back and you have just missed your one opportunity to have him see your home. Did you just miss your buyer?
2. DO NOT Hire an agent on name alone. As I alluded to earlier, a strong and comprehensive marketing plan is essential unless you want to leave your home sale to chance. In my years of experience, I have NEVER known a buyer that asked to only see homes listed by such and such agent or such and such company. The name on the sign matters not. The marketing plan is everything. For example, Buyers are looking on the web. Does the agent you are interview maximize the use of the web? If not, do you think buyers can find your home?
And finally, the most important of all:
1. DO NOT "Test the market" "Tell them to bring offers" Pricing is critical in this market. You will miss showings if you are not in the right price range. Buyers won't write offers if they are not seeing your home because it is priced above the range they are looking. We've been successful getting quick offers on homes that were priced just slightly below the competition. This is not a market for testing. What you ‘want' or ‘need' out of a house, unfortunately, is irrelevant to a buyer.
I know some of the advice is frank. Believe me, it's tough love. Think of yourself as the CEO of your home sale. Your first move is to hire a good marketing firm; there are lots of things we can do to help you position your home successfully against the competition. Good advice and implementation of a good marketing strategy will help get your home sold. Be informed and prepared and you will be a Seller not a homeowner with a "for sale" sign in the yard. The difference is huge.
)