What's Buying a Listing?

Posted: November 11, 2018

Selling your home can be a major job, especially it you’ve owned your home for some time. Often, if the seller doesn’t have a relationship With a certain realtor, they will interview several to decide who they think they will work well with to sell their home. Pricing can be the seller’s top consideration, but one must be careful here. The agent who gives the highest estimate of value is not always the best choice.

As an example, I’ve noticed there are several properties on the market currently at Brickyard Cove. Many have been on the market 6 weeks or more and one over 6 months in this, a “Sellers Market”. Why? Maybe because they were priced too high to begin with. Even in a market where multiple offers are common, and many properties are selling for more than the asking price, it is possible to list a property too high. This typically results in a loss of time (as in the case of the Brickyard properties) and ultimately a series of price reductions as you chase the market down.

In the meantime, the property becomes what we in the industry call “shop worn” meaning it’s been on the market longer than the average for the area and therefore, it is assumed that something is wrong. It either has some fatal flaw or it’s overpriced. The longer a property is on the market, the lower the ultimate sales price will be. Whereas, if the seller had listened to the agent with the data to back-up a certain price (even though lower than what another agent indicated), the home will sell quicker and at current market value – potentially more than original estimate.

If you’re thinking of selling, don’t let an agent “buy” your listing – you may very well lose in the long run.