The highest rate of walk-through activity occurs during a listing's first two weeks.
After that, whether you're actually overpriced or not, you start to look stale. Buyers start to wonder what's wrong, and any bid you get is likely to be low. Here are a few tips it might be time to consider a reduction in price.
1. Your Property is getting too few lookers.
If you're not getting lookers, it's a pretty obvious sign of disinterest. A lower price point may reignite interest in your property and result in more guests to your Open Houses.
2. Your property has been on the market longer than similar properties.
Are properties similar to yours selling quicker? This may be a sign that a reduction in price is necessary. So if homes with similar floor plans, square footage, rooms and bathrooms are selling in or near your neighborhood, it's probably time to reduce your price.
3. Your property has plenty of lookers, but few offers.
Even if your open houses pack in more people than your fire code permits, they don't always lead to offers.
4. A good gauge is; expect 10 showings in 10 days.
If you don't have that you're about 5% off in pricing. If you are having 10 showings and no offers then you're about 3% off. So we look at changing the pricing every two weeks.
5. Drop the price enough the first time.
Make the price reduction significant enough to open it up to a new market of buyers. At least 5% down from the last price is good, but 10% is better. Whittling it down in smaller steps can be a mistake. Buyers who have seen your property before can perceive this is as a trend to exploit which gives away your negotiating power. By reducing down to the right price, you'll stop wondering why your home isn't selling and start inspiring buyer competition.
Once you have buyer competition, you'll end up with an easier sale with less chance of negotiations falling through.
Having an experienced realtor is the best way to know how and when to handle all of the examples above. If you have any questions, don't hesitate to give us a call, we're happy to help!
Broker is Your Castle Real Estate
The Jarnagin Team - Your Castle Real Estate
9090 S Ridgeline Blvd #110 Highlands Ranch CO 80129 720.271.2873