Pricing a property is critically important to get the momentum you need to sell it. In my Coaching Tip today we’ll face your fear of price reductions by understanding why they happen, and I’ll show you how to make the pricing work for your market dynamics.
Price reductions happen. Whether it’s changing market conditions, or that your market knowledge wasn’t as good as it should’ve been, you’re going to have to have that conversation around making a price reduction. The sale is in trouble if you haven’t had enough inquiries on the property, not enough inspections, and no second appointments.
It’s the second appointments that show interest, and you need those to make sure you get an offer. In my business, we make sure that by day 14 every property we have on the market has an offer. This is important because the most urgent customer is the one that pays the most. Your job is to find that customer.
Look for the people who have already sold a property and need to move, or have already made an offer elsewhere and failed. They’re ready to do a transaction and as soon as they find that particular property they want they’re going to come look at it. Pricing is what will get their attention, and to get it right you need to go to other open for inspections in your area to see the other homes currently competing in the marketplace.
My lesson here is, don’t wait until it’s too late. You know if you’re already in trouble, and it’s your duty as an agent to go have that conversation with your owner around getting the property priced down just enough that you can get it sold. It’s everything you do leading up to the price reduction that determines its success.
That means doing the work of speaking with every single one of your owners each and every business day about new properties coming to market and recently sold buyer feedback you’re hearing, and price indications you’ve received. Remember it’s the client’s right to maintain their asking price if they wish to, but it’s also your job to push past that fear of price reductions and facilitate that price by knowing what the market really looks like.
I hope you’ve enjoyed today’s Coaching Tip, and I look forward to seeing you here again next week.