Compelling a home buyer here in Louisville to act usually boils down to just four things, or 4 variables…
4 Things To Consider Before Lowering Your List Price
- Location
- Features/Upgrades/Amenities/Finishes
- Price
- Financing
In that we cannot change the location (often good or bad), then we have just 3 variables we can control to some degree. #4 “Financing” typically depend on the market conditions as well as the type of property. Understand that not all properties have the same financing options – some easier or more difficult than others (FHA, VA, Rural Housing, KHC, Condo vs. Fee Simple). This is typically out of the seller’s hands but that is for another discussion.
Sooo..if a home is updated for today’s buyer (newer kitchen & baths, hardwood floors, curb appeal, dry basement, etc) and has been well maintained (good condition mechanicals, roof, windows, waterproofing), then you can eliminate #2. Thus, if “Location” and “Features/Upgrades etc” are not going to change, the only toggle we have left is #3 “Price”.
If you’re on the market in the public eye for 30 days with no offers – be ready to change. Take it even a step further – no showings!! Any buyer looking in your price range has already seen your home online, and you’re only going to get “new” buyers coming into the market. Changes should occur at 30-60-90 days of a listing (keeping in mind we can only change variables #2 & #3 above).
If you’re able to change #2 and the owner is willing to put some money into the property – fantastic, then you may not necessarily need to change the price. However; if you’ve been at the status quo for 30 days, make a change to one of the 2 remaining legs to see some action.
Always remember…if your home isn’t priced to sell, then it’s priced to sell your competition!
