A national Franchise announced that they will have a nationwide Real Estate Sale…. They are asking sellers to reduce the price of their home by 10% for 10 days! In my entire career I have never heard such a ridiculous idea…
Why would any seller, in their right mind, reduce their home by 10% for 10 days? Is their house overpriced to begin with? If so, the listing agent should educate the seller on the market. That’s their job.
What happens after the 10 days? Are sellers encouraged to overprice the house again?
I honestly believe someone (maybe everyone) forgot that real estate is a service. We are being entrusted with an individual’s (or a family’s) largest single investment. This proposed marketing strategy would work better if they are selling used cars or something less important.
What’s next the midnight sale?
I know if a house is priced right it will sell. It does not matter what condition the market is in, location doesn’t matter (that’s taken into account during the pricing process), it’s not about condition. There is only one factor when selling a house — PRICE!
Is this new “fly-by-night” plan such a great thing for the sellers or is showing desperation on the part of a real estate company? You decide….
October 12th, 2008 at 7:49 pm
When representing Buyers as a Buyers Agent in this scenario,
I would be inclined to wait until after the “sale” is over and then start negotiating under the 10% anyway…
Sales of homes do not lend themselves to a temporary discount..,
Once the “discount” has been made public knowledge, the price stays at the lower level…its hard to raise prices once word is out that a seller had the home at a lower price point…so in my opinion, a ten day sale becomes a permanent lower price …
As a seller, I would make sure I was prepared for that reality…
Susan Sommers ABR CRS GRI
Associate Broker
Tech Valley Homes Real Estate