BUT DAMN #243 REAL ESTATE: HOUSE SELLING FALLACIES, DON'T BELIEVE THE HYPE

HOUSE FOR SALE

We offered a $5000 bonus to the realtor who could bring us a buyer.
BUT Damn!
Still no one has come to look at our condo.

5000 dollars, HOW SHAMELESS OF YOU. Marketing should be tasteful, like the picture of Selma Hayak we used for this real estate article. So welcome to the club, because whether you believe "sex sells" or "money talks", when it comes to real estate, you are probably a victim of REAL ESTATE FALLACIES:

Fallacy #1: Everything else in the county is more expensive so those who want the least expensive home will flock to your home.

Fact: Can't say as I've ever even once had a buyer say to me, "take me right to the cheapest house in Montgomery County. That's exactly where I want to live!" Most pick an area and then find the house that suits their price range. If they don't want to live in your area, cheapest house won't matter!


Fallacy #2: Every home will attract a buyer so if we just stay at this price a buyer will come to us eventually.

Fact: Not every home will sell in this market. Many will fail and do as evidenced by the high number of expired and withdrawn listings.

Fallacy #3: Put the bonus in bold so agents can see that they'll get paid more for selling this house.

Fact: An agent needs a buyer interested in the property first. When it's priced so high no one shows the property ever, the bonus ain't gonna cut it. Agents aren't stupid.

Fallacy #4: We don't just want some investor to buy our house for nothing.

Fact: When your home is in an area of more than 50% foreclosures everyone's an investor. You are chasing the market down week by week by week. Those that are selling are getting waaaaaay under the active listings to sell.

Fact: When an area is hit like this it will be years and years before the market comes back enough to make the money you wanted.

Fact: Your strategy allowed you to succeed in not giving your house away for nothing. Unfortunately, you got nothing as a result. Worth it?

In the end listen to the advice of a good realtor, watch the listings and solds in you area each week to see what's going on. If you can't sell, what about renting. Not what you dreamed of? Well make it easy on yourself by getting a management company. You then will have to wait till the market gets better. Even if it doesn't cover your whole mortgage. In this market, something is better than nothing.

Thanks to Bethesda Realtor Josette Skilling for her input.