There are a few reasons why the sale of your property may extend past the average time on market. Though the biggest one in my experience mainly comes down to price and there are two driving forces to that, your agent and you. This meaning your agent successfully sold you an inflated appraisal and bought your listing or they have provided sound advice and but you wanted to try the market at a higher level. Either way, once the market speaks, you have to start listening.
If your property is a similar offering like others around you and you have past the average days on market in your area, then it’s time to go back to the drawing board and begin questioning why. The old saying “the definition of insanity is trying the same thing twice expecting a different outcome” is very applicable in real estate, so just sitting around waiting for the right buyer doesn’t really work unless you change things to entice them to come. So as long as your agent is providing you constant and honest feedback, you should always have a good idea of where your property is currently sitting. This allows you to be proactive and start making changes before your property stales.
Two things that buyers are drawn to are quality and price. These are two areas that you always have control over and depending on your timeframe and budget, you can choose which will suit you. Cutting to the chase, a property nine times out of ten, remains on the market due to price. It’s simple, if your price is to high, then the buyers will either not come to your property, as they don’t want to waste their time, or they will give you low offers. Once you begin to get a consistency with the offers, you can begin to determine at what value the market is placing on your property. So your options are simple, either drop your price to where your property will be competitive amongst buyers and start building from there or improve your property so buyers will see the added value and come to your asking price.
Sometimes, it’s as simple as spending some extra money on staging your property with furniture so buyers can see it from a different perspective. This can open up smaller rooms and also help potential buyers see how they will fit the property out. This is a simple way to increase value immediately and attract more buyers to your property. Other times, you may need to do some renovation work or maybe some landscaping, all you need to do is weigh up whether the work you need to do will cost the same amount in the gains you’re trying to make up, if so, then just drop your price and build from there.
A competitive price is still important and you have act quick enough, you may be able to use the market feedback to your advantage. There’s always risk involved and this will be dependent on your situation, though by dropping your asking price to an area that will increase your buyer traffic, you have the opportunity to generate a competitive bidding war which may attract more emotional buying and in turn, receive an offer of what you were trying to achieve or a lot closer.
Either way, just make sure that your agent is constantly giving you feedback so you can make informed decisions and always act swiftly so you don’t miss the opportunity to capture a stellar result. If your agent isn’t providing you constant weekly feedback, then demand it from them as it is their job to make sure you always know what is going on. At this point, I would start questioning whether the agent has enough time for you or if they are just a bad agent. If you’re feeling as if you’ve made the wrong decision with your agent but you’re locked in exclusively with the company, then see the managing director of the company and demand a new agent to take over. If you’re dealing with the director, then be upfront and honest with them and ask for someone else to assist in the sale.
The following advice is of a general nature and intended as an opinion and broad guide. For all legal, financial or real estate advice you should obtain independent professional advice to do with the specific nature of your circumstances before making any legal, financial or real estate decisions.