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Old 05-31-2016, 09:04 PM   #41
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I have noticed there is a big difference between a little "staging" and no staging so you might do a little bit. Clean out the closets of clutter, remove half your furniture, etc.... Also, clean the yard up and plant some new flowers. Then lower the price 5% and have all day open houses Sat and Sun. If nothing in two weeks then take it off the market and try again in April! GOOD LUCK!
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Old 05-31-2016, 09:05 PM   #42
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There are only two reasons why houses (or anything) doesn't sell. It is over-priced, or under marketed (which is over priced for the marketing effort).

Make sure it is free of clutter. Then, lower the price every few weeks.

Please do not think you are priced right. If you were, it would sell.
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Old 05-31-2016, 09:06 PM   #43
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There are only two reasons why houses (or anything) doesn't sell. It is over-priced, or under marketed (which is over priced for the marketing effort).

Make sure it is free of clutter. Then, lower the price every few weeks.

Please do not think you are priced right. If you were, it would sell.
Yup. I agree.
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Old 05-31-2016, 09:07 PM   #44
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From what I am reading, you have it priced right... from the comps and from what the realtors are saying....

One of the problems you might be having is the small market of people who can afford the house... you mentioned the amount 5% represented... so a buyer comes and sees your price and sees another similar without the land for $100K less... they might not want that much land...

The tear downs are for the people who want the big lot and the big house... in that case, the house is in the way... it has zero value... heck, it has negative value since you have to pay to raze it...


If you are not in a hurry, I would wait...


BTW, I do not think a realtor can 'move' the house any faster.... you have to have a willing buyer in order to sell... nobody can create a willing buyer...
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Old 05-31-2016, 09:12 PM   #45
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Yeah, "the dirt"

I think my dirt is worth more than my house too -
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Old 05-31-2016, 09:56 PM   #46
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Here is something an agent told me, rather than drop your price, tell your agent for the next 30 days you will pay a bonus 1% to the selling agent.

She said she had one client do that, and it was amazing the number of agents that dragged their buyers over to see the house when they realized they would get 3.5% instead of 2.5%.

No need to raise your listing agent rate, they can always bring a buyer too
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Old 05-31-2016, 10:04 PM   #47
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I think yo are sweating it too much because right now you live in it.
Imagine how tense you would be if the house was empty because you had already moved away.

So just keep it clean, make it look bigger and neater (pack all the personal pictures, and extra stuff you have as you will need to pack it anyhow), and enjoy the wait.
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Old 05-31-2016, 10:07 PM   #48
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That is a good idea. Bag it and shag it. Go on with your plan and just clean it out and move.

Empty houses sell fast. I know, that's what I had to do -
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Old 06-01-2016, 01:51 AM   #49
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The house has an updated kitchen with granite, but for this same amount on a small lot you can get the two story entryway and the big master bath with a jetted tub and a more modern styling.
People who value a large, attractive lot enough to forego a larger home with more amenities aren't common IMHO. Someone in a "starter home" who is looking to upgrade is likely looking to upgrade to a larger, nicer home more than to a home similar to their current one but on a larger, more attractive lot.

"Lot lovers" are out there. I'm one (because I like to have room for my ham radio antennas). But they are few and far between.
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Old 06-01-2016, 03:01 AM   #50
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If the house is a tear down then it is a tear down whether it is nicer than the other house in your neighborhood on a similar lot or not. That is, if a buyer is planning to tear the house down then they aren't going to pay more for your house than they would for a house in rough condition on a similar lot.

Now, it is possible that someone might might your house who would want to live in it in which case the house itself may have some value. But, I'm not getting that feeling from what you say. And, even if you find that rare buyer who would do it the other sales may make it where your house wouldn't appraise anyway.

A few years ago, I got caught in the market downturn and had to sell my house for a lot less than I started the listing at and it took a year. That was not a fun time. In retrospect, I should have dropped the price faster and sooner (and, unlike you, I was getting a lot of showings).

While I would look at recent days on the market in your neighborhood, if it was me I would probably drop the price to make it more comparable with other tear downs with similar lots.
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Old 06-01-2016, 06:42 AM   #51
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A friend told me once to figure out how much it would cost to keep the house for another year including upcoming updates/repairs. Then to drop the price that amount. Hard to do but it worked for ours.
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Old 06-01-2016, 07:18 AM   #52
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A friend told me once to figure out how much it would cost to keep the house for another year including upcoming updates/repairs. Then to drop the price that amount. Hard to do but it worked for ours.
We did something similar in a backwards way. We had moved about 30 miles away and were just about to list our home when DW put an ad out on craigslist for sh!ts and giggles. A young couple responded. The second time they looked at the house with her grandparents, who were wealthy and providing their financing, grandpa made a snide comment that was in effect a low-ball offer. We rejected it with a small dose of indignation and said if they ever became serious about making us an offer to let us know.

The couple later came back with a low offer but with no contingencies other than a home inspection. This was in the fall. I calculated what we might reasonably list and sell the house for in the spring, less realtor commissions, less the costs of heating, electricity, snowplowing, etc from then until the spring and our proceeds for accepting their offer was that same as what I thought it would be if we rejected their offer, listed it and it sold in the spring. Since a bird in the hand is worth two in the bush we accepted their offer and never looked back.
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Old 06-01-2016, 07:31 AM   #53
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Yes, but heat and electric are not legit carrying costs, you have to pay that no matter where you live, even property taxes, if you are going to go buy another house that one will have taxes on it as well.Of course if you already bought another house it is double carrying costs.

It's basically guessing at next year's selling climate (which at best is an educated guess).On a FSBO you would save the fees, which could happen if the OP decides to price it as a teardown after his listing contract expires. A lot of FSBO just save their part of the fees as lots of buyers have a agent that needs to be paid.
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Old 06-01-2016, 07:41 AM   #54
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I'm a Realtor (if that matters).

My first question is to ask whether homes in your price range are selling? If not, then I would be patient. If so, then there's really 2 options -

1) Improve the property so it competes better with homes that buyers are comparing yours against. Did you have a professional home stager/decorator come through and give you advice about how to make your home as much like an HGTV home as possible? Beyond too much furniture & decorating issues things like new paint and updated flooring make huge differences.

2) Assuming those have been addressed then it's really about price. The normal guidance that agents should be giving you is that a price drop should be in the 3-5% range. The amount you do should be based on whether you are getting activity or not.

The final part of the puzzle I didn't mention has to do with your motivation. Some people want to sell for sure. Assuming homes are selling in your price range the best option is to keep reducing the price in that case. That's the fair market price.

If you aren't as motivated to sell then maybe staying put and hoping the market moves upward or the perfect buyer come along may be just fine.

Good luck!
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Old 06-01-2016, 07:59 AM   #55
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OP here. Thanks to all of you for taking time to share your perspectives.

It really has helped me to look at things in different ways and to determine my best course of action.

Undoubtedly, the best way to sell it fast is to lower the price. A similar home / lot came up for sale nearby for 20% less and was bid up to about 15% less and sold quickly, though for less than my neighbor's tear-down.

Since I don't have to sell, I've decided to just let it ride and will either sell it for a bit less than what the realtors have said it is worth, or just enjoy living here for a while. It is a very pleasant place to live.
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Old 06-01-2016, 08:10 AM   #56
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"Sell before the next crash..."
"Don't have to sell"...
$$$ involved against the cost of keeping 2 houses?

edit (oops... cross posted... Good decision)
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Old 06-01-2016, 08:19 AM   #57
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Since I don't have to sell, I've decided to just let it ride and will either sell it for a bit less than what the realtors have said it is worth, or just enjoy living here for a while. It is a very pleasant place to live.
Good decision. Selling is a process that involves coming to terms with the current market value of your property, and, when sufficiently motivated, going all out to achieve realistic goals. When you decide for sure to sell, I agree with Fishingmn's recommendation to have your home staged so that it shows in its best possible light.
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Old 06-01-2016, 08:52 AM   #58
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We are potential buyers. But our market has been down, and is still down, for the past two years. We sold 3 years ago with the intention of travelling/downsizing. Got the travel part ok but much to our surprise we are still renting and love it.

18 months ago we looked at an attached bungalow/condo. It was 629 just reduced to 609. We were leaving for three months so we did not really consider it. It was furnished..the owner lived there. Well staged.

Fast forward 18 months. The place has been on and off the market, price keeps dropping. It has been empty for at least 9 months. Current asking price is 515. It has been at this price for 22 days. The owner is on his third real estate agent. The cost to carry this in taxes, condo fees, heat, etc is $800. month. Does not include the time value of money or the decrease in market prices over the past 18 months-probably 5-9 percent.

Bottom line is that real estate is only worth what someone is willing to pay.
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Old 06-01-2016, 09:15 AM   #59
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A friend told me once to figure out how much it would cost to keep the house for another year including upcoming updates/repairs. Then to drop the price that amount. Hard to do but it worked for ours.
Exactly what we did. Figured out what our time was worth, what it would cost to pay the property tax and utilities for a year while the house was on the market. We then figured out what an agent would charge to sell the house.

Subtracted all of this from the house values in the neighborhood, put the house on craigslist, and sold it in one day. Comparable houses to ours were taking 6 months to a year to sell in our area.
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Old 06-01-2016, 09:46 AM   #60
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Last summer I sold my house in four days at a price well supported by reasonable, sound comps. Guess this was blind luck. Good thing it worked out that way. When the reality of how much it costs to own two homes really hit me in the face, I was aghast. Getting it under contract so fast helped to mitigate any portfolio damage due to the extra expenses.
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