The reason why your home isn’t selling may easily be corrected, IF common sense and logic are employed. Selling a home can be stressful and an emotional roller coaster, removing as much emotion as possible and maintaining the “business first” mantra is critical to success. Fail to do that and the result is often predictable and costly.
The broader Atlanta area (ITP and OTP) started to recover in 2012 but there hasn’t been a YOY 8-10% increase. In fact, over the last five years most areas are seeing generally level home prices with most in the 1-2% positive range; which is good growth. The idea that home buyers will pay anything just isn’t the case in most areas.
Of course there are pockets around the metro Atlanta area where demand is insanely strong and prices have rocketed, but those are anomalies; not the norm. The reasons are many, but homes sell for the most and fasted when price/exposure/appeal are in line. When one or more is out of line, the home languishes. Price is the sole decision of the seller and often where things fail. Home buyers around Atlanta are conditioned to make aggressive offers; Atlanta was one of the top foreclosure markets during the crash, that reputation is nationally known.
Over pricing, aspirational pricing…whatever the term, sellers are pushing list prices. That’s understandable but so are buyers opening with offers “below list”; sellers should not take this personally, but many do. Many fail to respond, choosing to ignore the buyer. Others come back at or above list, cut the stipulations and gut the offer. If the objective is to sell, why alienate a potential buyer? While most areas around the great Atlanta market are tight, keep things in perspective, keep it business and don’t let anything get personal. Poor decisions are made when things get personal.
Consider the North Fulton area – specifically the part east of 400 comprised of Milton and Roswell. This is an area where a very tight market with increasing values is expected. Roswell home sellers and Milton home sellers have every reason to expect to call the shots, especially now and particularly in the 400-750K range. Not so fast…
Here’s a look at the median sale price trend in this range; hardly resembles the screaming headlines pushed in the national media. How does this justify the rigid stance of so many sellers?
And the idea that there is such a dearth of inventory? Well here’s graphic evidence that shows this same area with about 1 home in 3 listed actually selling.
The patterns are easily noticed if anyone decides to look. The challenge has been and continues to be sellers and agents that do not really understand the markets. Homes that are something special will demand a premium; buyers will jump on those. However, the majority of listings don’t fall into that category.
Sellers that ignore applicable data, let emotion and ego get in the way of a business transaction (which this is) and/or overplay their hand will miss an opportunity. Selecting a hack agent that simply spits out a desired number to get a listing isn’t smart. Be smart, be tough but be realistic and base decisions on appropriate data. Once a home languishes on the market, questions are asked and stigmas develop. It’s easily avoided if the correct steps are taken.