When the real estate market is a seller's market - you probably expect your house to sell very quickly. But, what happens when you don't get ANY offers on your house?
We cover all of this in Part 2 of the Home Pricing Strategies series. (Watch Moving in Des Moines: Home Pricing Strategies (Part 1) here.)
If you're curious what your home is worth you can check that out at http://515homevalue.com.
Do you ever go to tell a story and then 15 minutes later you realize you still have not got to the point? Well, that happens to me too. And unfortunately it happened in one of my videos. So I am breaking up one video into two videos, maybe three, I don't know, I'm not done editing them yet. So this intro to this video is a little different than other videos that I have done because it's sort of in the middle of the process instead of at the beginning, but why not? It's 2021, and anything goes, right?
In the following video, we're going to talk about what if no one makes an offer on my house? What do I do then? Some common seller questions that we run into:
What if nobody offers?
What if we price it 15% above market value and nobody offers?
Well, then you lower the price.
What if we price it at market value and nobody writes an offer?
Then I would say, evaluate the marketing work with your realtor. It could be timing. It could be things happening in the world that are outside of everybody's control. You might just need more exposure. There's no one rule that applies to everybody in every situation. You're just as unique as your neighbor selling their house. And so this is a better conversation with your agent to find out what's going on.
Maybe your house is priced at market value, but maybe it smells like cat pee. Well, everything looks good on paper, but then when people come into the house, they're like, "Oh no, thanks."
Listening to the feedback that you're getting from showings, listening to your agent who has a beat on the pulse of the real estate market and making adjustment, whether it be to your house or to the price moving forward.
What if you price your house 10% below or 15% below and you don't get an offer?
Well, that's the same thing. You know, if you price your house below market value, it may not have been enough below market value just because you think the price is low doesn't mean it's actually low. The market is actually determined by what a buyer is willing to pay for your house.
So if you believe the market value of your house is $200,000, but maybe it needs a new roof and it has old leaky windows and the basement kind of smells a mold because it gets wet all the time. Well, a buyer might come in and if you have your house listed for sale at $180,000, which I believe if I just did the math correctly in my head is 10% below market value.
Then that buyer might think, "Oh gosh, this is going to cost a more than $20,000 for me to make the repairs on this house." And so missing value in their perspective, the value is there in your perspective, but not in the buyers.
So either you adjust by taking care of the condition of the house or lowering the price, or you could also wait until you find somebody else who sees things the same as you do, and sees a lot of value in the price that you have it offered at.
And that's it. That should answer your questions on what you should do if no one writes an offer when you've listed your house for sale.