If you’re selling a home and have hired a real estate agent, you may wonder why your agent is encouraging a price drop of the property. Your home is your prized possession, and you know how much it’s worth to you. Unfortunately, your assessment of your home isn’t always the way the market is going. Don’t believe that there’s a magical amount of time that the house should be on the market before a price drop. Heed the situations below as signs that you need to consider a price change on your property for sale.
There Have Only Been A Few Showings
If people haven’t been looking at your property either in person or online, then it may be time to consider a price drop to attract more buyers. A new listing is really attractive to buyers, so something is off if people aren’t biting at the listing. Remember that right after your home hits the market should be the busiest time for showings and online hits on the listing.
The Property Has Lots Of Attention And No Offers
Eventually, if you give a property enough time to gather interest, there will be an offer. If there haven’t been any offers but lots of attention on the property there are a few things that could be wrong. First, the property might need some updating. If you’re selling a home, the last thing that you probably want too is updated the house. Small changes can make a big difference. If you don't have the money to make repairs and updates, then you need to consider dropping the price of the home. Buyers will want to make these changes themselves and aren’t going to want to pay top dollar for a property that needs fixing up.
If there are significant issues with the home, you may have to address the problems. Old roofs, leaks, and cracks scare off buyers. Getting these problems fixed will help you to sell the home faster and get a better price for it. Keep in mind that even if the home was priced with the need for updating in mind, you still might need to make some changes to find your buyers.
Your Home Has Been On The Market Too Long
If your home has been on the market for an extended period, you’re going to have to drop the price. The longer a home hangs around the housing market, the more likely you are as a seller to get a low offer on the house. Most buyers want to know how long a home has been on the market. If the property has been for sale for an extended period, the next question that a buyer will ask is “What’s wrong with it?” Buyers tend to assume that if a property they love hasn’t been bought by a certain point, there must be a catch. Every real estate agent recommends something a bit different.
Other times, people consider reducing the price of a home as a red flag. It may be better to take the house off the market altogether and then re-list the property for sale.
