So how does this short story relate to selling homes? Well… most home sellers, although knowing that the right thing to do to get their homes sold, is to list with an active and aggressive Real Estate agent like myself, will, none-the-less, attempt to sell as a FSBO (For Sale By Owner). Or they will list their home with an agent promising to blast-market their home all over the digital and print world of advertising. I mean … how cool is it to have fantasyland pictures and descriptions of your home plastered all over glossy magazines, classified advertisements, personal websites, and social media sites – kinda makes you feel like you are finally in the “spotlight” – doesn’t it. You can send out all kinds of text messages and Facebook messages to showcase your home to all of your friends and family, just like a proud parent.
Well … in a manner of speaking you are in the “spotlight”, albeit a far-less-than desirable venue. Just imagine… there are a lot of people scanning the Internet looking for your advertisements… and as a result… you are potentially exposing yourself and your family to strangers of questionable ethics and principles, and, to strangers who now have access to more information than you intended to publicize. I mean, why not just include in your advertisement, the secret location of your hidden front door key, or the hours that your home is vacant, and therefore open your life to home invaders.
Regardless of those dreadful images, consider that passive selling techniques such as those mentioned… like magazines, and websites do not generally produce immediate or satisfactory results. These methods transfer control into the hands of others, to use as leverage in negotiations against you. Why? Because most people regard For Sale By Owners as being desperate or cheap. You are unknowingly, sending out a message to the world that you are possibly in financial need, that your skills at negotiating are weak, that you prefer to conduct your business deals in secrecy, and that you do not have the confidence and strength in your home’s worth, or your credibility. And, because you want to save on the sales commissions, you are contrarily sending out a message that you are willing to bargain . And for this reason, independent buyers, and especially bargain hunters and so called “bottom feeders” will expect you to forfeit at least the 3% that would have otherwise gone to the Buyer’s Broker in a traditional sale. And … before the deal is finished, you will likely have diluted your equity by 12% to 15%. Further they may assume (and they are probably correct) that you over-priced your home on the market. On the other hand, there is a high probability that by listing with an agent who resorts to some of the same methods as a FSBO, will likely cause your home to remain unsold for many months. This will either cause you to lose on the opportunity to purchase your next home, or worse, you may be caught with 2 mortgages for a significant period of time. If you choose to move onward to your next home, without first selling your previous, then that home, now vacant (no furnishings), will not show its true value in the eyes of the buyer, and you can expect to add 6 more months to your selling time, and expect a reduction of at least 10% in your listing price. Houses are indeed selling in this down market, however, with there being a 7 to 8 month inventory supply ( no discussion here about the pending release of foreclosures into inventory), competition is strong. If your motivation to sell your home and move onward with your plans is high, then you need to seek out a powerful Real Estate agent, like myself, who will work aggressively to get your home sold.
There is another quote that I like, and I believe there is truth in it, and it goes like this … “generally, you get what you pay for”. It is a very simple thought, yet sometimes our minds do not allow us to believe it.
How many times in your past life can you think when you should have paid a little more for something that you absolutely knew was of greater quality, yet you opted for the inferior product or service, only to be remorseful later. How many times in your past life had you proceeded to do something in a manner that was not up to your capabilities or standards, yet you chose the low road, so that only at a later time and after greater stress and expense, said to yourself “damn-it, I am going to do it right this time”.
When it comes to buying that next home, or selling your current house … make that commitment from the very beginning that you will hire an active, aggressive, and competent Real Estate agent to get the job done – do it right the first time, and you will likely be happier, more productive, and have more money. Have the peace and comfort that you listened to, and acted on your inner voice!
Our goal is to help and guide people to buy and sell San Diego Homes: Contact us soon - and let us apply for the job of being your Real Estate agent.
Charles M. Schevker (CPA)
DRE # 01875556
Broker Associate
Prudential California Realty
Sattelite Office:(858) 437-8400 ext. 248
Home Office: (858) 750-2578
Home Office: (858) 750-2578
Mobile: (858) 449-8250
1299 Prospect St.
La Jolla, CA. 92037
1299 Prospect St.
La Jolla, CA. 92037
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