2015 SELLER PRICE REDUCTIONS
The Best Defense is a Good Offense
Your sellers may still be hesitant to lower the listing price of their home. A common response when you suggest a price adjustment is: “Just bring me an offer”. Of course, it doesn’t work that way as most buyers are not motivated to present an offer to a seller that is unrealistic.
The same seller that refuses to acknowledge this fact is likely to get frustrated with you as their agent as they continue to chase the market down as prices drop. One common belief in military campaigns is: “The best defense is a good offense“. This can be a powerful strategy in advanced salesmanship. When market conditions change, you can use this strategy to attack the price issue with your sellers.
Here’s how this approach works:
There is a similar home that comes on the market at a substantially lower price, or a similar home closes for much less than the asking price of your seller’s home. Knowing how this will impact your sellers and their price, you proactively contact your sellers and say the following:
“I just checked the market and I noticed that a home in your neighborhood just listed for much less than yours, I’m a little concerned about how that will impact your home. What do you think we should do?”
By being armed with the new information, the ball is in their court and they must share with you their feelings about the changing conditions. How they respond will provide you with great insight as to what your next step should be. In some cases, they will concede the point immediately and reduce the price.
Keep in mind that by asking questions you are controlling the situation. By listening carefully to the answers before you formulate your strategy or next step, you are much more likely to have success with your clients.