How Can I Effectively Sell a Home in a Down Market?
The headlines would have you believe that it is impossible to sell a home for a reasonable price during a down economy. It is true that it is more challenging to sell a property for a satisfactory price, but it certainly is not impossible if you create a workable, knowledgeable action plan. Here are some tips to consider before marketing your property in a down market.
What is the true quality of your neighborhood? Is your property close to good schools? Shopping? Public transportation? Does the home's location fall into the "desirable neighbourhoods " classification? The three primary rules of real estate (location, location, location) strongly apply in a down market. A good location is always desirable and helps hold real estate values.
What type of homebuyer should your property attract? Try to learn the traits of the homebuyer that would be attracted to similar neighborhoods, schools, government services, property tax, size and condition of your property, and amenities. This knowledge will help you market your home to the right group of potential buyers.
Stress all your home's features that transcend both good and down markets. For example, should you have an inground pool, you may attract buyers in hot markets. However, in down economies, many people eliminate expensive vacation travel. Therefore, your home "resort" may become even more attractive. Does your home have some features that are attractive in all markets?
Practice patience. In down markets, the inventory of homes for sale usually expands rapidly. There are more homes for sale than there are buyers. Economics 101 dictates that when supply outpaces demand, prices go down. Along with this reality, a typical homebuyer will also take longer - sometimes much longer - to decide on a home purchase. To get a fair price for your home, you may have to display some informed patience. However, you will typically be rewarded for this ability.
Fortunately, a down market doesn't last forever. Down markets occur only as frequently as do hot markets. Selling a home in a down market is not impossible, but does require an effective marketing plan, pricing strategy, and patience in order to receive a fair offer. Understand that many buyers only want bargains in a down market, so you may have to weed through some unacceptable offers until you find a qualified, serious buyer. However, when you find that homebuyer, you should receive a fair price for your property.
***Article found on Homes & Land website. http://www.homesandland.com/real_estate_tips/Buying_and_Selling_in_a_Down_Market.html***
The Hisey-McDermott Team
Century 21 Miller Real Estate Ltd., Brokerage
467 Speers Road, Oakville, ON L6K 3S4
p: 905-845-9180 x 230