Price
The biggest issue that can stop a home for selling is the price. I run across these properties all the time from the MLS to for sale by owner sites. Sometimes the home itself has been renovated with all of the updates. The kitchen has been updated with new cabinets and stainless steel appliances, the bathroom has a new Jacuzzi tub, etc. Other times you can tell that the home hasn’t been updated in the last 10 years but is still clean and functional. They do have one thing in common however: they cost $30,000 more than all of the similar homes in the area and have been sitting on the market for 6 months or more.
Why do some sellers price their home so high? Some sellers simply put too much money into a home where the market simply isn’t selling that much. Transforming a 100k home into a mansion is not going to increase the price much if there aren’t any homes selling in that neighborhood over 100k. Buyers will simply look where all the other mansions are. Also, some certain updates will not increase your home’s value as much as you think.
Some sellers have been living in their homes for a while, investing a lot money and time into it over the years. They have put their blood, sweat, and tears into this home, and they can remember a time where the home was worth double than what today’s market is asking. This brings us to our next issue…
Condition
If your bathroom hasn’t been updated since the 80’s, it is not going to sell for as much money as a similar home that has been recently updated to the latest style. While this may seem obvious, I have ran across a lot of sellers who cannot seem to grasp this concept. It doesn’t matter how clean and well-kept it is. Also, the home being older does not automatically give it “antique” status. A lot of times it is just plain outdated, and buyers simply won’t pay as much for it. If the condition of your home needs improvement or updating, you may want to consider either thinking about some minor remodels or lowering the price down to attract more buyers.
Marketing
You may have the best looking home in the neighborhood, but it doesn’t matter if no one knows that it is for sale! I see this issue a lot with for sale by owners. They simply place a for sale sign in the window, place an ad on zillow, and hope for the best. According to the National Association of Realtors, only 8% of all homes were sold by owner, which means that roughly 92% were sold with the help of real estate agents. The vast majority of real estate agents use the MLS to look for homes for their buyers, so for sale by owners are missing on the vast majority of potential buyers. Even if you are using an agent, make sure they are marketing your home properly. Make sure they have plenty of pictures that help your home’s positive features stand out. Also make sure that your agent does more than simply list it and walk away!
