Category: marketing plan (4)

house has not sold

House has not Sold

Sometimes properties take longer than normal to sell for a variety of reasons. If your house has not sold,  you may have other options rather than adjusting the price. Common issues are:

  • Location
  • Condition
  • Time or exposure to market
  • Price
  • Functional obsolescence

If we study the list of issues some are seen to be curable while others are not. Continue reading ..

Clock-2While most experts agree that pricing a home properly at the onset is the best strategy, setting an accurate price can be a challenge for even the most seasoned real estate agent and homeowners. Price is affected by a myriad of complex factors including a constantly changing marketplace. Couple this with a reluctance to set the price too low and the tendency to build in “negotiating room” and you can see how overpricing is a common occurrence in every market. How do you determine that the price is the factor limiting the sale and what do you do when the market does not agree with the price?

 

It is common knowledge that listings receive the most showing activity in the first two weeks. While some time is required to expose the home properly to the market, generally after a couple of days and during the first week we witness the highest amount of interest and showings on a new listing. This second week generally tapers off and the third week will receive showings from buyers who perhaps were not available to view the home earlier. Following this initial flurry of activity we often experience a steady, but slower pace of showings for the next several months. From the buyers perspective they have most often viewed everything available on the market and succumb to watching new listings as they arrive on the MLS® system. This accounts for the flurry of activity in the first week as these buyers scurry to be the first to view the new product, hoping that it will be the home they have been waiting for. After this group of “pent- up buyers” digests your home, the remaining showings occur from buyers who were slower to respond and those “new buyers” who naturally arrive to the scene and are viewing all the available existing product.

The interesting fact is that the first group of buyers are your best experts. They have seen all the existing product on the market and compared the attributes of each home along with the price in your particular niche. This is why it is essential to any marketing plan to receive feedback from this field of Buyers to determine if there was anything that could be improved in the home to make it more palatable to them or the market. While our marketing plan includes a pre-staging service to determine improvements that will make the home more salable, sometimes there remain items which could be improved. Often times we will discover that an oversight or some other tweak that was not apparent can make a difference in the saleability. After a thorough review of any items that can be improved in the home and a period of time which ensures that the property has been adequately exposed to all current available Buyers, it is time to review the price. This process should highlight any items within our control that should be changed to improve marketability before we look to price as the primary factor. This review should occur between two and three weeks on market.

What affect does reducing the price have on the marketability? First it signals renewed interest from the first group who came through and the portion of them who did not show interest due to price being too high. Secondly it exposes your property to a new group of Buyers who previously did not view it because it fell outside of their price bracket in their auto-search. Third, it provides some “news” and another reason for your real estate agent to promote your property either through renewed advertising or networking. This entire process is sometimes repeated several times depending on how aggressive the Seller wished to be regarding price and their urgency to sell.

While the best strategy is to set the price accurately at the outset, you can see that with proper monitoring and an attentive real estate agent, there are good processes in place to correct an over-priced listing that will get you back on track. Sano Stante Real Estate provides a marketing plan that includes feedback and monitoring, along with expert advice to help you through the most critical stages of selling your home

Marketing-PlanSimply stated, the best marketing plan will achieve two things:

1. Expose your home to the highest number of targeted buyers.
At any particular period of time your marketplace will produce a slate of buyers for property. The goal of a good marketing plan is to ensure that every potential buyer for your home is made aware of it and that moving to the next step (whether it be viewing or writing an offer) is readily accommodated. Take for example a transferee moving into town who is here for the weekend. The first day is orienting themselves to the neighborhoods and then they wish to view homes on Sunday. Your home is at the top of the list, but you have a rule of no Sunday showings. This underlines the accommodation rule but beyond that consider the next step. The agent has shown several properties which the buyer is considering. They are weighing their decision on which home to offer on more information (for example, the energy costs of each home) and have requested this from each listing agent. One agent replies, providing detailed records while the other does not return the call. While the home was exposed to the market, it did not cross the finish line due to lack of response from the listing team. And while exposure is key, targeted exposure rules the day. The difference between shot-gun marketing and targeted marketing means that the perfect buyer for your home is fleshed out in advance and that the marketing message is targeted to that individual. While old school marketing would have you believe that you should blanket exposure to the entire market, the most effective marketing narrows the focus so that your home is more appealing to the target buyer while reducing appeal (and subsequent time-wasted showings) to the buyer who would never have purchased the home in any event. For example promoting the surrounding schools and kid-friendly neighborhood of a contemporary bachelor pad wastes resources that could be better utilized elsewhere, besides inconveniencing the seller with unnecessary showings.

2. Portray the benefits of your home in their best light.
In the past we imagined that any information (no matter the quality) trumped no information. In the current day of abundant information this is no longer the rule. For example when photos were difficult to produce and import to the web, any photo was better than no photo. Today with an overload of information available, we are better served to produce a few extremely high quality photos than a glut of low quality photos. The reason for this is that in the past the public was searching for information on the web, whereas today they filter information on the web – so to get noticed you need to stand out. Today’s buyers (and agents) have abundant listings available so the process consists of looking for a reason to filter the home off the short-list. A good marketing plan ensures that the photos and marketing information do not deter the right buyer from eliminating your home before they even get in the door. Two professional photos of HDR (high dynamic range) quality trump twenty pics from the agents iPhone.
The sister goal to portraying your home in its best light is to adhere to the rule “sell the benefit not the feature”. Many listing agents and sellers will list features of the home at length which often only serves to confuse the potential buyer. If you understand the target buyer and the “why” that buyers typically have you can speak to the “benefits” of the features that the homes boasts, and more effectively reach the buyers emotional decision center.

We’ve provided a few salient points to help guide you through all the claims that you’ll find in the real estate world selling you on their marketing plans. To be certain, there is much more involved, but we believe these are the two most important. Marketing your home using the best plan available is crucial to ensure you receive the highest dollar and sell your home in the shortest period of time. Be certain to ask any real estate professional to provide a detailed description of their marketing plan and compare their marketing plans with these points in mind to find the best value for you.

 

Selling a home in winter time in  Calgary, or any cold climate offers some unique challenges for homeowners and Real Estate Professionals alike. Here are a few tips to make the best of the chilly weather and cooler market:
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