Dear Toby: My house is the lowest priced listing in the neighborhood. Why won’t it sell?

Toby’s Says: Your house is probably overpriced. Don’t just list your house. List it to sell.

Palm Coast, FL – October 19, 2009 – People often ask me why their house is not selling, even though it’s the lowest priced listing in the neighborhood. They can’t understand why there are no showings and no buyer interest. The problem is likely that their house is overpriced. Just because it’s priced below all other properties in the neighborhood does not mean it’s priced properly for today’s real estate market. It simply means that the house is LESS OVERPRICED than those surrounding it.
Properties actively listed are properties that have not yet sold. Naturally some will sell, but not necessarily at the listing price. Over 1,100 homes have been sold in Flagler County so far this year. On average, they sold for 91.15% of the listing price and 77.37% of the original listing price. And these are just the ones that sold. For each home sold, several others dropped out of the market when their listing expired or were withdrawn. Comparing your listing price to theirs is fruitless.
The following considerations DO NOT determine your home’s selling price:
  • What you paid for it
  • Improvements you’ve made
  • Your emotional attachment to it
  • The list price of other homes in your neighborhood
The buyer is the sole determiner of the selling price. And the buyer doesn’t care about the items listed above. Assuming the buyer likes your house, they will compare its price to those of similar homes that were SOLD recently. SOLD, not LISTED
You can influence a buyer to be attracted to your home; curb appeal, landscaping, fresh paint, interior appearance, etc. and you should attend to these items. You should also take an honest look at the competition. Today’s buyer has a lot of choices. Your home has to stand out in the crowd.
A good Realtor® can help you analyze your home’s selling potential and assist you in setting a realistic listing price by performing a thorough market analysis. An agent who says they will take your house for a higher listing price but cannot justify the difference is not doing you any favors. Your property will sit on the market and become "stale." It may even be shown by other agents to set the stage for the presentation of another "target" property; to make the target seem a better value. If you don’t have an agent, contact me (386) 931-7124. I’ll help you find one.
Don’t just list your house. List it to sell.


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1 reply
  1. Lindsay Dolamore
    Lindsay Dolamore says:

    Distressed Sellers

    Watson Realty Corp is conducting a CDPE (Certified Distress Property Expert) class for sellers who have or about to become distressed on thier property. Free seminar will answer your questions and give you direction on getting your property sold with the least hassle. November 6th 6:30pm RSVP at http://www.real386.com/seminar We welcome sellers and thier realtors if listed. for sale to attend. If you are facing forclosure and do not know were to turn this class is for you. Two CDPE Realtors will be conducting the class.

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