The Advantages of Working Together

Happy New Year! Hope everyone’s holiday was relaxing and joyous, because now it’s time to roll up our sleeves and dive back into work.

Here’s a case study from my most recent success story. Frank Rosmini of RE/MAX Millennium contacted me regarding one of his listings at 226 Dallas Road in Willow Grove (MLS # 5179183). All the way back on 11/14/06 another agent listed this property for $279,900. After 168 days and a price reduction to $264,900 the listing expired. After it expired Frank picked up the listing and put it up at $253,000. After 132 days he withdrew it and re-listed it for $249,900. While it was withdrawn the seller replaced his gravity warm air heating system with a forced air system including central air for $7,000. It was now November and the property was still not under agreement despite numerous showings. Frank knew that the property had flaws that could only be overcome by price, but his seller didn’t see it that way. He had lived in the house for 14 years and had grew accustom to these so called flaws. Frank contacted me in mid November and hired me to appraise the property. Without any counsel from Frank I inspected the property and wrote my report a day later. In that report I detailed the positives and negatives and how they related to the current Willow Grove market. I appraised this property for $230,000. Keep in mind it was listed for $249,900. Frank told me that my property flaw details mirrored the feedback he had been getting from buyer agents. Shortly after my appraisal the listing price was reduced to $239,900, despite Frank’s pleading for closer to my $230,000 appraised value. After a few weeks it was reduced to $229,000. Within two weeks it went under agreement for $230,000 and is scheduled to close January 21^st. Frank and his seller are just the latest example of people who I was able to help get their house sold.

To view a case study appraisal click the following link:

  Case Study Appraisal 

Here’s my take on our upcoming Spring market: there will be plenty of buyers after 12+ months of sitting on the sidelines. While the buyers will be there, make no mistake that there will still be much more inventory than available buyers. It is going to be more important than ever to get your listings priced right. I expect prices to drop about 10% from what the current comps demonstrate. I’m already seeing deals come across my desk with sale prices 10% less than asking. Those priced right listings are going to end up selling in a timely manner and end up taxing less of your time and money and keeping your clients happy.

In the upcoming months many of you are going to encounter some or all of the following. Unrealistic sellers who will want to base their asking price on outdated 2007 comps. Sellers who overlook their property’s negatives. And sellers who overvalue what they consider their property’s features. In these situations your best bet is to hire me to come out and provide an unbiased third party opinion. Based on the “time is money principle” $300 is a small price to pay to get a listing under agreement in a timely manner.

I’m looking forward to this year and wish all of you a healthy, happy, and prosperous new year!