I am amazed at the number of properties that just keep churning listing agents - especially commercial ones.
The prices adjust a little, sometimes not at all. New sign, same story.
When a property is undesirable or overpriced - or both, getting the listing is unproductive.
Sure, every property propbably has some value to someone, but at the right price and at the right time.
I suppose one could make the case that having your sign on the property is good advertising. I could make the case that it's negative branding also.
Many properties just aren't meant to be sold in today's market. This is not 2005. We mustn't fall into the trap of thinking we need to list it or someone else will - let them.
If the right buyer should ever come along, we can still co-broke.
───
For more information on my coaching and educational programs and services, visit my website stevehoffacker.com or go to my other blog homesalesinsights.com for additional sales tips, insights, and commentary. You can also listen to my free podcast messages at Steve Hoffacker's Happenings.
© Steve Hoffacker, 2009. All Rights Reserved.
Hi Steve:
Excellent points...
Bottom line, if the property doesn't sell, it's always the price.
Even if the property is considered undesirable, there's a price where it is desirable!
As they say it's good to be third. I personally have turned down more listings this year than ever in my entire career. I often wonder is it because I don't want to work so hard anymore? No... the reason is I don't want to deal with an angry sellers, shocked buyers and advertising expenses that produce no return on the investment.
Toula,
You're right. Unfortunately some people are underwater on the value of their property. :)
Steve
Mary,
How true. It's easy to confuse being busy with making progress or getting results. :)
Steve
You are right on target with this post! I have learned this lesson the hard way...by wasting valuable money AND time on overpriced listings...I agree "Let someone take else it!" Thanks Steve!
Steve - It's the most expensive type of listing there is...... in terms of time invested for a listing that wont sell and on top of that, the value of agent's track record...... Thanks for bringing this up.
An agent was recently very upset with me when I said I find no joy in taking listings.
Wanda,
At least you know not to go there again. Sorry for the expensive lesson, but this is one way we learn. :)
Steve
Loreena,
Thanks for your agreement on this subject and your additional insight. :)
Steve
Steve great point I have two listings one is two years old since listing and another 1 1/2 years over 300 showings EACH we have brought in does not include open houses. We sent a warning as of 12/31/09 not sold we will cancel listings. Have a wonderful week and Happy 09/09/09
Some agents have to learn this the hard way, but it seems like some agents do it out of a feeling of desperation.
Lynn,
I hope it is a happy 09-09-09 for you, and we really need to learn that unproductive listings won't help us. :)
Steve
Jon,
Agreed on your second point. Some feel that something must have been missed or that it just wasn't marketed right if it wouldn't sell. :)
Steve
I have one like this down the street from where I live....three agents so far and 2 years!
Gary,
Give it time, a few more agents will get involved. :)
Steve
Excellent point. I have walked from lisitngs when the seller insists on a price that's excessively high. What's the value of a listing that won't sell?
Once you gain the reputation of listing "crap" properties consistantly, other agents will blow by any of your listings. That's the value of a listing that won't sell...less than zero!
I always like a challenge when it comes to listings, but some just aren't going to sell if the seller has unreasonable expectations. If an appraisal at the time of listing says $150,000 and the seller insists on listing at $160,000, that pretty much tells the story of what will happen during the term of the listing. The listing agent is going to spend time and money marketing a home that will not sell unless a quick price adjustment comes about.
If the seller gets no showings, it is overpriced. Most times it is not worth it to take an overpriced listing.
The hardest part is convincing the seller that price is everything in this market. Every listing has its price, and a couple weeks of non activity, or negative price feedback should cause the seller to change his/her price. If not, then, yes, I would rather not have the listing.
Thanks for your post.
Steve you made a point that I think more agents should think about before taking a listing that is overpriced and won't sell; your name on the front lawn month after month after months just lets the neighbors know that you're not selling it, you're not getting the job done.
Then to make matters worst, if it's listed later on with another agent it will usually have a price reduction and that agent sells it. What has that said to the neighbors; agent "B" must be a good agent, she got it sold.
I will not take an overpriced listing; it's my reputation, with the other agents and with my farm area.
David,
I think you have summarized this well. Thanks. :)
Steve
Mary Ann,
With the way people shop today and the information they have available, an overpriced property is obvious. :)
Steve
Deborah,
I would even say that it's never worth it to take an overpriced listing. :)
Steve
Lynn,
Good comments. It's a judgment call as to how willing someonbe is going to be to lower their price. Still, I don't like the "just reduced" tactic. List it right and sell it. :)
Steve
Marie,
Very well said and thanks for elaborating on my point. :)
Steve
Steve - Great post. I won't take any listing now if it is overpriced. I learned the hard way. It is a waste of my time and money and the sellers think you are not doing a good job because the listing won't sell.
Steve, I agree but there are so many agents that will list a property no matter what the comps say.
I think a 30 day listing is something to think about. If you can't generate an offer in 30 days, overpriced - do you really want it?
Rosalinda,
Right you are. If we take the listing we should be reasonably sure that it can sell. :)
Steve
Damon,
It's a case of being inexperienced, cocky, or acquiescing - none of which are appropriate. :)
Steve
Pat,
For all of the reasons mentioned so far, the answer is a clear "no." Thanks. :)
Steve
Hi Steve -- In general, I agree with you, but there are always exceptions to the rule, and sometimes, it's hard to spot them. I see listings switch agents and the right buyer just happens to come along (my buyer sometimes) and they decide to buy it, and it really didn't matter who the listing agent was, and the price wasn't an obstacle for this buyer.
Chris,
It sounds like what you are saying is that the right buyer came along and that the agent had nothing to do with the sale. :)
Steve
Not sure what the value is of a sign in the yard of a home that will not sell .. Our 2 cents.
Bob,
There is no value, and it creates no positive branding message. :)
Steve
A coach once asked me, do I want to be the competition or up against the competition. That changed the way I do business. I AM the competition!
I agree with steve that there are a few exceptions to the rule. I have a collegue with a Fix-r-upper that is not horribly over-priced, but show very poorly once you get inside. The owners don't want to put any more money into it so it continues to get showings but no offers. the agent was getting discouraged and thinking about getting the listing withdrawn until I pointed out that as far as marketing goes, this listing has generated more buyer leads that anything else she has done in the past 12 months.
Evelyn,
Thanks for those comments. Keep at it and good luck. :)
Steve
Jean-Paul,
Leads are fine, but if the leads realize that the property hasn't sold, how impressed are they going to be? On the other hand, maybe it will help them to follow his advice. :)
Steve