Why Won't My House Sell?!?!

You have Heard that "Cash is King," well "Price rules the Roost." In many if not most cases, the reason a property doesn't sell is price. In the market we find ourselves in today you can price a home correctly at the inception of listing your home for sale, but if you're in the wrong price point your property won't sell. The reason? The credit crunch on jumbo properties and high inventory levels.

When talking home sales in the sub-$200,000 range, first time buyers have kept this segment of the market alive due to the first time buyer tax credit of $8,000. Higher-end homes that require "Step-up Buyers" which are generally homes that require financing over "conforming limits," are piling up on the market and inventory levels are growing in certain areas of the marketplace.

In many areas the highest loan amount you can obtain for a conforming loan is $417,000. Therefore if your property is priced more than $450,000, one key reason it may not be selling is that buyers are unable to obtain financing. I mentioned the words "Step-up Buyer" a minute ago. In this price range properties are definitely step-up properties where buyers may also have a home to sell before they can purchase your home. Compounded is this problem for the Step-up Market in that a high percentage of sellers today have no equity in their current homes. This can render the Step-up market all but impotent.

Does your house show "like new" or is it a train wreck? How is the curb appeal? Does the exterior need pressure washing? Is clutter all you see? Then your potential buyers are seeing it too. START LOOKING at your home in the eyes of a buyer. Remember your objective is to help the buyer your home as "their home."

Real estate comes down to three things: "location, location, location." If you have bought on the wrong side of town, a neighborhood full of foreclosures, or just a bad lot, at this point there is not much you can do about property location. You CAN make sure the price is adjusted accordingly based on the location. "Now wait, wait, wait Hank." I can hear the objections coming. Yes, adjust your price based upon a lesser location. For example, if homes in a given subdivision are priced at $120,000-$130,000 and your home sits on a lot off the entrance of the subdivision and backs up to another main road, then you should adjust down the price of your property. IT WILL NOT sell for what an interior property that backs up to trees might sell for in this market. Not with 12-13 months of inventory on the market for sale. Buyers have too much to pick from and your home will sit if you price it with the other listings in the neighborhood.

Do you, if selling FSBO, or your Realtor have a written marketing plan? Did he or she have a virtual tour made of your property? What's more, did they do a VIDEO tour? How many photos are online? Is it less than 20? If your answers are no, no, no, and less than 10, then you have some issues. Is your home being marketed on at least 30 major Web sites? Any you have ever heard of or do online home shopping on yourself?

Is your home on Realtor.com, your local MLS, Georgia MLS, Yahoo Real Estate, Trulia and Zillow? If not, find out why and make sure your Realtor immediately gets your home marketed on these locations as they are the most-visited online real estate sites according to Hitwise.com and other traffic analytic sources. If your agent has no idea how to do this and looks cross-eyed when you mention the word "Zillow," you might need to have a heart to heart chat with them.

If you are having trouble selling your home, figure out where you are on each issue. Also, address any issue you are short on today to get your home sold as soon as possible!

Avoid These Seller Mistakes

You want to get the best price for your home, plus sell it in the least amount of time. In a buyers’ market such as the one emerging now, homes will take longer to sell. Therefore, it’s important that you make the right moves at the very beginning of your homeselling process to remain competitive. Here are some common traps that many homeowners fall into and how to avoid them.

1. Over-pricing — It’s easy to think your home is worth more than the current market may support, particularly after the long run-up in home prices. Since home prices have cooled in markets around the country, home sellers must be prepared to negotiate on price and terms, and stay flexible to other stipulations benefiting the buyer. Sellers must also keep their emotions in check during the process. After all, your home is special to you and your family, and you’re proud of the improvements you’ve made over the years. But, how does your home really stand up to the others? And are those improvements important to a potential buyer?

To determine a reasonable listing price, get sales statistics on homes in the neighborhood including listing prices and actual sales prices, how long it took for the homes to sell, and government valuation comparisons. You’ll also want a market appraisal on your property. Visit homes for sale in your area and compare what you see in terms of sales appeal.

2. Negligent Housekeeping — Buyers need to be able to envision themselves living in the home. Take a good, objective look at the condition of your home. Clean, well-kept homes with an updated appearance always stand out, and a little decorating appeal can go a long way. You don’t have to buy new furniture to create charm, but you can put toys and clutter away, freshen up paint and carpet, make the most of window coverings, and add a few key accessories in order to send out welcoming signals.

3. Failing to Fix-It — Buyers, unless they are looking for a fixer-upper, would prefer to move into a home that is in perfect or near-perfect condition. If they have to fix the roof, a broken tile floor, the garage door, worn carpet or just about anything, this may give them pause about buying. At the very least, it may lower the value of the home in the prospective buyer’s mind.

4. Not Identifying Exclusions — This can be a cause of contention just at a critical point in the sale. Be sure to specify any special sales considerations or exclusions from the fixtures and furnishings list. Generally, anything permanently fixed to the house is an asset that stays with the home after the sale. So if you intend to take your grandmother’s antique chandelier that’s hanging in the dining room, clearly specify that the chandelier is not included in the sale price.

5. Not Understanding the Agent Agreement — Your sales endeavor will go smoothest when all parties have a clear understanding of what is expected. Understand the types of agency agreements when you sign with a real estate professional or company.

Be sure to check on fees, commission percentages, marketing plans and time frames. Most importantly, get everything in writing.

Top Real Estate Web Sites

According to Hitwise.com, websites for 'Business and Finance - Real Estate', ranked by Visits for the week ending 08/29/2009.

1. Realtor.com 7.32%
2. Zillow 3.52%
3. ZipRealty 2.59%
4. Yahoo! Real Estate 2.44%
5. Rent.com 2.26%
6. Trulia.com 2.15%
7. MSN Real Estate 2.07%
8. ServiceMagic 1.95%
9. Homes.com 1.76%
10. RE/MAX 1.50%
11. HUD 1.45%
12. Apartments.com 1.39%
13. AOL Real Estate 1.26%
14. Century 21 1.24%
15. Homegain 1.24%
16. MyNewPlace 1.22%
17. Apartment Guide 1.11%
18. RealtyTrac 0.86%
19. mlsfinder.com 0.82%
20. ForRent.com 0.81%

As has been typical, the Top five (5) sites attract roughly 1 in 5 visits to real estate search sites while the Top 20 control almost 40 percent of all visits. Are you getting the right kind of exposure to your Athens GA area home for sale?

When Selling your Home, What Hill do you Die on?

Posted on April 27, 2009 by hankbailey

Selling a Home in Athens or in your town? What hills do you die on? I am referring to the negotiations process. What areas do buyers seem to compromise on and what areas are they going to dig in their heals and hold firm?

According to the National Assocication of Realtors, home buyers last year had some distinct areas that they would negotiate on and some that they were not so firm on in the home buying process.

As far as the top three things that both first time home buyers and repeat buyers would budge on, both sets of buyers matched in their answers. Both said that on Price and Size of Home they negotiated the most. First time home buyers in their third highest area of compromise however picked “distance from work” as their third biggest area to compromise while repeat buyers felt the condition of the home was something they were more willing to negotiate on over location to work.

Areas of little to no compromise? The number one area in which buyers would not compromise was in the distance of the home to school. The quality of schools and neighborhoods were second and third least likely to be compromised on respectively.

Which group made up the highest percentage of buyers who felt they made no compromise in their recent home purchase? Repeat home buyers. Almost 2 in 5 made no effort to compromise what they wanted in a home. I guess this means that Gen Y is more flexible and easy going than we older generations! Remember the next time you buy a home that for future resale you need to consider these areas of little to no compromise to make sure the future marketability of your home is secure.

These are probably the best buying conditions in 30 years! If you would like to search the Athens MLS please take a look at listings in our “Classic City” today! On this web MLS search solution you can search every listing on the Georgia MLS for the Greater Athens area or in your Georgia town!