OnDemand WTP Pricing Research

3 Steps To ‘Relist’ That Painful Property That Just Won’t Sell | inman

What makes a listing compelling?

There’s more to being compelling than price. Educate your clients by reviewing these key factors that dictate whether or not a property is compelling.

Opportunity – Opportunity properties give a builder a chance to build a sparkling new masterpiece on a prime piece of land. Does your property offer that opportunity?

Exclusivity – You know those one-of-a-kind properties! They have the ultimate location, a storied history or a unique architectural pedigree. Does your property possess any “exclusive” features?

Turnkey – We all know that turnkey properties are compelling, especially when there is no competition. Does this home provide a turnkey experience for the buyer? Are comparable homes available in the same price range?

Price – If none of the previous factors apply, then price becomes the lone reason a listing is compelling.

Which brings us to my three-option pricing strategy.

Give the homeowner 3 options

Instead of simply presenting comps to a homeowner and mutually agreeing on a price, I advise agents to utilize this three-option pricing strategy to make the home as compelling as possible.

Above Fair Market Value (Not Compelling) – Talk about pricing above the fair market value, and how having that higher pricing strategy hasn’t worked so far. The data and the market have showed that, at the current price, the home isn’t compelling.

Fair Market Value (Compelling) – Pricing at the fair market value is based strictly on the comps. This will make the property more compelling, but there is an even better strategy…

Below Fair Market (Most Compelling) – What really makes a property more compelling? When you set a price that is extremely compelling, you create a bidding war and feeding frenzy around the property!

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3 Steps To ‘Relist’ That Painful Property That Just Won’t Sell.