- You're upside down with a loan greater then what the home can sell for. What you owe is irrelevant to how much a buyer is willing to pay for a it.
- Other homes are priced far less because they are bank owned or Short Sales. These homes are selling and their is an ample supply of them, you can not wait until they are all sold..
- The local economy has generated buyers who are only looking for "Deals". If your home is not priced right it will sit because buyers will find another seller who will wheel and deal!
- Your price is based on the list price of other active homes that have not sold. Only sold and pending home sales data demonstrates true market value, homes that have not sold are often overpriced.
- You have dismissed the most recent sales because they were foreclosures or were "not as nice as yours". Don't get too emotionally or hypersensitive, if your home is not selling, then buyers feel that you price does not equate to value of your asking price.
- We've had so few showings, how do I know that I'm overpriced with out getting buyer feedback? Buyers are not even looking at your home because they found comparable homes at a lower price. If they can find what they want for less, they will never see your home.
- Your agent has not told you to lower your price because of fear of upsetting you. Agents do not like giving bad news. If they are a friend or family member they maybe fearful of the wraith that comes with disappointing you.
- You are blaming the listing agent for not marketing the home well enough. If the agent has sold other homes recently with the same marketing strategy then most likely your home is over priced.
- You have an appraisal from 2006 showing your home value is far greater then what your realtor is telling you. The problem is since that appraisal; real estate values have dropped over 30%, 401K's and IRA's are worth 60% of what they were, lender laws are far more strict and the unemployment rate has sky rocketed.
- Everyone says my home is so nice, it must be worth more. Realtors work on the basis of what a home can sell for. If buyers are only willing to pay X for something, then that is what the home is worth in today's market
But, We Can Help!
This is a competitive real estate market. If you have to sell and can not, perhaps it is time to look at a Short Sale. The Mike Realtor Team has performed dozens of Short Sales for professionals who have lost their job, income has declined, medical problems, relocation, retirement, divorce, loss of spouse, unable to make ends meet, or other reasons not listed.
Need more information, call me !
Mike Sher,
Office: (248) 644-4700x242 Fax :(248) 499-1020 Bloomfield Hills, MI 48302 E-mail: mike@mikerealtor.com CDPE (Certified Distress Property Expert)
MCAR, Short Sale Trainer
Max Brook and Real Estate One Short Sale Specialist.
The Mike Realtor Team Blog - Metro Detroit/Oakland County
Servicing in Southeast Oakland County, Auburn Hills, Birmingham, Bloomfield, Berkley, Beverly Hills, Canton, Clawson, Farmington Hills, Ferndale, Huntington Woods, Northville, Novi, Pleasant Ridge, Plymouth, Royal Oak, Rochester Hills, West Bloomfield, Troy, etc. We worked with: Bank of America, Country Wide, HSBC, EverHome, Litton, GMAC, Chase, Wells Fargo, Flagstar, Fifth Third, Charter One, Comerica, Am Trust, US Bank, National City
Hi Mike;
Great post a very good information for home owners having difficulties.
All very good points Mike! Its a very tough reality we're in right now, and it doesn't do anyone any good to ignore the harsh facts. Not forever, but for right now, Equity is a thing of the past - and if sellers come to terms with that, their houses will sell!