Far too often, when a home does not sell, many real estate agents point to price alone as the reason. Leading real estate agents, like eVantage Real Estate agents, along with most home sellers, however, believe there are usually many other factors involved, too.

But What About Price?

While, technically, it may be true that any home can sell if the price is lowered enough, the agent you select should represent a more nuanced, diagnostically comprehensive understanding of why homes, in general, do not sell. Conversely, one-dimensional, price-only thinking is a convenient excuse for those agents who lack the necessary skills to effectively market a home. Many well-informed home sellers also understand that there are many other key factors beyond price that contribute to their home not realizing the desired results, such as:

Ineffective marketing (advertising, et al.)
Inadequate merchandising (staging
Insufficient networking
Unsuccessful negotiating
Lack of information technology

By selecting an eVantage Real Estate agent, you will have the opportunity to work with a proven real estate professional who is cognizant of and conversant in the many reasons beyond price why homes do not sell.

Don’t Overlook Price, Though

eVantage Agents agree that price is one of the many vital marketing factors that influence the sale of your home. As you re-evaluate the proper pricing strategy for your home, request an updated market analysis from your real estate agent. Make sure that it details the current pricing trends for your overall marketplace, including:

Days on the market for properties in your specific price range
The list-to-sales price ratios for homes that have sold (the more recent the better)
Square footage cost (ask agents how and if cost per square foot may be relevant to price)
The number of price reductions or, where applicable, the number of price increases
The number of homes currently active in your price point
Any other information your agent can provide that relates to selecting the proper price

When re-evaluating price, keep in mind that in specific circumstances, a lower listing price can actually lead to a higher selling price.

Because the laws of supply and demand essentially govern all pricing, a lower asking price can, in many cases, stimulate greater demand. Greater demand frequently leads to higher prices. Discuss with your eVantage agent the current supply-and-demand metrics influencing home values in your neighborhood or marketplace. Also consider the following when pricing your home:

Some buyers in certain markets will not even consider a property unless there has first been a price reduction. If you are in an active seller’s market, this should not be a concern.
Buyers typically select a property after exhaustive shopping. Since buyers are prone to shop in one price range, they come to recognize value in a specific price range more quickly. Overpricing, therefore, can carry with it a significant penalty.
A significantly overpriced property is less likely to be shown by real estate agents. A lower price can reduce days on the market, thus avoiding the stigma of longevity and protecting the price integrity of the property.

If your marketplace is one where there is appreciably greater supply than demand, you might want to ask an eVantage Real Estate agent if it would be prudent to offer creative buyer incentives, such as:

Offsetting closing costs
Paying points on their mortgage
Buying down an interest rate
Offering inclusions
Closing date flexibility
Home warranties

Note: Ensure that all such incentives comply with the appropriate regulatory real estate practices in your state or province.

Real Estate Marketing

Interview your prospective agent to make sure they possess the all-important skill of marketing. We suggest you ask the following marketing-related questions:

1. What is the difference between a real estate marketing agent and a real estate sales agent?
2. How is marketing different than advertising?
3. How is marketing different than real estate personal promotion?
4. How do you market offline as well as online?
5. How do you market to other real estate agents?
6. How do you market to niche or segmented prospective buyers?
7. How do you market to relocation and referral buyers?
8. How will you develop and customize the marketing for our home?

Once you are satisfied with the agent’s level of experience and production, make this most important request of them:

“Please tell us, from a marketing standpoint, all of the things you will do in marketing our home that will cause it to sell at the highest price and at the best terms.”