How to be the house that sells in a saturated buyers market

Posted by Jennifer on August 25, 2016 in Uncategorized | Leave a comment

Recently, the CIO and EVP of McEnearney Associates Realtors, David Howell, wrote a column for the Washington Post headlined “More evidence of how farther-out communities are losing favor with buyers,” a claim that surely will send chills down the spine of current and potential sellers in many outside the beltway communities, including our hometown of Great Falls.

David looked at three communities:  Chevy Chase, DC Potomac, Md and Great Falls, Va, all places with an average sales price of just over $1 million.

So far this year, the pricing dynamics in these three communities have shifted significantly.

There has been a clear change in consumer demand, as more than a third of the buyers in Chevy Chase have been willing to pay above list and almost half the homes have gone under contract in a week or less. It’s no wonder that there is upward pressure on prices.

We’re seeing the opposite effect in Great Falls and Potomac. Roughly 1 in 20 homes sell above list price and 1 in 4 sell in the first week on the market. The pricing dynamics in these communities have changed in ways that mirror what we’re seeing elsewhere in the market. Demand has shifted more toward walkable communities convenient to employment centers and public transit.

How to be a successful seller in a buyers’ market

So, how do you get to be that one house that sells (relatively) quickly and for close to list price?  The key is in the 4 P’s:  Preparation, Presentation, Pricing and Promotion.

Preparation

In a tough buyers market, your house needs to look better than the competition.  Period.  You get the most money for your home when it looks its best and appeals to the most buyers.  Time and money spent preparing your home will pay off in the long run.  Fresh paint, fresh landscaping, maybe new appliances and some kitchen and bath updates – some or all of these things may be necessary to make your home stand out in a saturated marketplace.

Presentation and Promotion

Your house may look great, but if your agent does not know how to promote it, or even worse, if the agent takes bad photographs, you will have a tough time finding a buyer.  From professional photographs for a perfect online presence to a multi platform marketing campaign, you need to get the word (and beautiful photos!) out.

Pricing

In a buyers’ market like Great Falls, sellers need to be serious from the start.  Sellers who start their home at a price to “test” the market will build up days on market and ultimately lose money.  Sellers need to price their homes right from the beginning.  We help sellers find the list price that will attract the most buyers while maximizing the seller’s net profit and minimizing their time on the market.

Here’s a link to David’s full article.  And remember the four P’s, and give us a call when you are ready to sell.  We’ll help you net more and stress less.