My friend is trying to sell his house

User Forum Topic
Submitted by ibjames on November 7, 2007 - 3:36pm

MLS: 076074202

He has been through 2 realtors, and is having problems getting his place sold. What do you guys think? He said his realtor showed him that the closest comp was the same as his but it was an old place in bad shape. I told him to take another 15k off and call it a day.

Any suggestions? I think he's chasing the market down.

SDR, you have an email I can email you?

Submitted by Portlock on November 7, 2007 - 4:17pm.

He will definitely be chasing the market down with advice to reduce his price in 15k increments. It fits the definition, and you are contributing.

What are you basing your 15k reduction figure on? What do the professionals recommend? Maybe you are in the profession, and if so, how does your data look?

What happened to the first realtor? Did he/she advise your friend that his price needs to be reduced drastically to sell quickly in a falling market?

Submitted by SD Realtor on November 7, 2007 - 4:21pm.

Hi James -

My email is adam@1800grrealty.com. All I can say is that it is a BRUTAL market right now.

SD Realtor

Submitted by movielover on November 7, 2007 - 5:12pm.

Perhaps he needs to do something about the decor. Bright colors on the wall isn't exactly a big turn on for buyers. Just looking at those pics makes me not even want to go inside the place. Maybe a $100 investment on neutral paint colors like white or beige might yield more visitors. I didn't even notice the hardwood floors until I read the description cuz I was so distracted by the paint.

Also, having seen enough of those "Design to Sell" shows, the place also looks too cluttered. When my boss was selling her condo a few months ago, she started boxing things up and putting her stuff away on storage. You friend should de-personalize his condo, do a little bit of re-staging and get rid of the big items to make it seem more spacious. Spending an additional $500 to a grand on paint and staging will do him more good, minimize the loss, and get his place sold quicker.

Submitted by bsrsharma on November 7, 2007 - 5:20pm.

Why does he want to sell? Must he sell or is he afraid the market will go down more? How are other homes in the neighborhood that are selling (say, in the last 30 days) priced? How about pricing 10% - 15% below lowest list price in the zip on a $/sqft basis?

Submitted by pencilneck on November 7, 2007 - 5:49pm.

Good advice on repainting and uncluttering. I'm all for doing the simplist things first.

There may be no simple solution, but the barking dogs fenced in the kitchen may turn off a certain percentage of potential buyers.

Submitted by kev374 on November 7, 2007 - 6:28pm.

I agree, he needs to undercut the competition big time to get a potential buyers attention. The buyer these days NEEDS to be convinced that it is too good a deal to pass, anything less and the home is NOT going to get sold!

Submitted by meadandale on November 7, 2007 - 7:33pm.

"Perhaps he needs to do something about the decor. Bright colors on the wall isn't exactly a big turn on for buyers."

Wow, those pictures remind me of a recent episode of "Sell this House" (or whatever its called) where a guy had every room painted a different bright color.

They should spend the money to get neutral colors put down in everyone of those rooms.

Submitted by hawk on November 7, 2007 - 8:06pm.

I agree with the previous comments and want to add that the diswasher looks pretty old and shabby. They also might want to invest in door handles on the cabinets which make things look more pulled together.

Submitted by hawk on November 7, 2007 - 8:06pm.

I agree with the previous comments and want to add that the diswasher looks pretty old and shabby. They also might want to invest in door handles on the cabinets which make things look more pulled together.

Submitted by TheBreeze on November 7, 2007 - 8:26pm.

I disagree with SD Realtor. The market is AWESOME! right now and getting better. Some semblance of sanity is returning which can only be a good thing.

Submitted by cr on November 7, 2007 - 10:35pm.

Throw in a free iPod to the buyer!

People love free stuff.

Submitted by The OC Scam on November 7, 2007 - 11:08pm.

He should take atleast 30% off the current comps inorder to sell right away!! California Housing market is 35 to 40 % over valued wake up smell the coffee!

Submitted by SD Realtor on November 7, 2007 - 11:29pm.

heheheheh breeze...

You are right I should clarify... for people who are renting like me, and other buyers, the market is good and getting better... yet it has a ways to go.

For people who are selling, the market is Brutal...

SD Realtor

Submitted by Options4you on November 7, 2007 - 11:52pm.

Has he talked to any investors? I know that people think California is going down the tubes (OC Scam), but I would be willing to take a look at his situation. I tend to lean on the "optimistic" side of life (the other side just makes the days harder!)

If you are interested in talking more email me at:
options4you@cox.net

Hopefully I can offer him some FREE solutions and if I can help him, it was worth the time.

Submitted by djrobsd on November 7, 2007 - 11:55pm.

This thread really rings home to me, since I've been trying to sell my place since July.

First of all, in a normal real estate market, all the little things like paint, decluttering, staging, etc help to sell a home. But I can tell you, as a seller who did EVERYTHING by the book, Ready Set Sold (which is an awesome book by the way), and put a lot of money into my home before I listed it for sale, in this crappy market, it doesn't seem to make one bit of difference.

The only good thing that has come from me staging my home and painting it the right colors and making it "show perfect", is that I was getting a LOT more traffic then other listings in my area, according to my former realtor who had 19 active listings, and told me that most of her listings weren't getting any showings. But, all that traffic, and zero offers because people just don't seem to want to see past the fact that my place is small and doesn't have a big yard.

However, I let my listing expire with her for one reason, and one reason only. She was charging me 3% (plus 3% to the buyers realtor for a total of 6), but wasn't doing any more work then the realtors who only charge 1%. Also, i realized that I need to lower my price, and the only way to do that without a short sale was to go with a realtor who charged less, so I did.

There are no easy answers in today's market. There are a very limited number of buyers out there, it's a brutal market, and I'm just hanging in there hoping someone will fall in love with my home emotionally and not care about the financial fundamentals. Otherwise, I guess it will be an interesting ride.

Good luck to your friend (and by the way, I do think that $100 in paint would be money WELL spent, as well as getting rid of the dogs for ALL showings if they have dogs).

Submitted by PadreBrian on November 8, 2007 - 12:31am.

dj,
In this market you need to raise the % not lower it! A motivated realtor goes a long way. Bump it to 8%, and make sure it's priced right (make it seem like a deal), and that thing will sell.

Submitted by PadreBrian on November 8, 2007 - 12:47am.

ib,
New paint (a nice light sandy color), new dishwasher/micro/oven/hell throw in a nice fridge, de-clutter, and reduce the price to 397, and that thing will sell in a week.

397 should be nothing for him, he bought the place for 205. Sell now while he still can. In a few months when the fed raises rates to stop the plummeting dollar (hecka job, Bush), 397 will be just a dream.

Submitted by The OC Scam on November 8, 2007 - 8:50am.

Option 4 you,

The other side of life currently is the realistic side. Believe that crap isn't that bad is what got us into this mess in the first place. Price your home right (30% off) if you wish to sell. Keep the price where it is and hope someone comes along willing to pay what they can’t afford doesn’t happen anymore! The banks have to actually look at people’s income, job history, debt and credit report. I know that seems crazy but things have changed…..

Submitted by barnaby33 on November 8, 2007 - 9:00am.

Not to pile on too much so I'll start out with the positive. It seems like a nice starter condo in a decent area. That means its sell-able. The colors are odd, but repainting doesn't cost that much.

What bothers me is the price. That condo is a decent starter condo for a family. Nothing fancy but like I said you can live in it. Its priced though for the income of someone or two people who collectively make about 125k. How many people, make that? How many couples make that? Isn't the median household income around 70k at this point? If you made 125k would you feel it reasonable to buy that condo? Remember the boom is over. Nobody looks at that as a path to riches. Its now a place to live.

With credit getting tighter (though it seems temporarily loosened) its going to get harder to sell. Why then has your friend not followed Jim the Realtors advice, "if you have showings but no offers, its overpriced."

Josh

Submitted by ibjames on November 8, 2007 - 4:58pm.

I agree, I have given them advice (not painting the walls) but trying to get them to see that they can cut the price and still take home a nice pot of cash. They want to try to get as much money so they can by in Carlsbad, and I don't think it's going to happen.

This is a guy that laughed at me for not getting a crazy loan, but he's still a nice guy and I want to help him.

Submitted by ibjames on November 8, 2007 - 5:06pm.

BTW: I didn't do any research on his area, I was just basing things off of what he told me. He has stated that he has the biggest place in the area, the closest comp is the same as his but it's a dump, doesn't have the garage, etc. etc.

So that is where the 15k decrease came in. I was basically telling him to take the price down.

Submitted by sdrealtor on November 8, 2007 - 7:09pm.

I know this wont be popular but its really not worth getting crazy unless he has to sell asap. There are very few buyers out there this time of year and this year it is even worse. Come Late January there will be more buyers. How many more I dont know, but there will be more.

Submitted by nostradamus on November 8, 2007 - 7:57pm.

7

Submitted by bsrsharma on November 8, 2007 - 11:24pm.

This scheme might just work

$404000 Price drops $1000 every day!

now at $404 and dropping $1000 every single day!!!!

http://fortlauderdale.craigslist.org/rfs...

Submitted by barnaby33 on November 9, 2007 - 9:26am.

I'm a buyer! Seriously, I would love to buy, even in this market. Its just that nobody really wants to sell.

Josh

Submitted by DaisyDuke on November 9, 2007 - 9:47am.

The colors aren't so horrible and the place looks decent, but, it is true, neutral is far better.

The problem, the price per square foot is still tooooo high. Get it somewhere around the $260 per square foot and he might get an offer. I'm not sure what that reduction works out to, but these buyers want a deal.

Also, your friend needs to watch the other condos/homes that are for sale in the vicinity and keep his price (reasonably) below the others in that area, at all times.

Now of course, you are hearing that from someone who does not know the San Diego market at all. So this is probably a worthless read.

Best wishes to your friend.

DD

Submitted by patientlywaiting on November 9, 2007 - 10:51am.

The colors are horrible. So is the mess in the patio. The barking dogs are even worse. If they want to sell, they need to move out and clean up the place.

Here's the link to the pictures.
http://www.sdlookup.com/MLS-076074202-47...

I know the area somewhat and here are nicer listings. What would you do if you were a buyer?

http://www.sdlookup.com/MLS-076082684-43...

http://www.sdlookup.com/MLS-076082531-40...

Submitted by ibjames on November 9, 2007 - 11:54am.

thanks a lot for the feedback.

I know they are trying to salvage as much as they can. For us to say chop the price it's tough for them, they want to use the money to get a place in Carlsbad.

They realize their area isn't as nice as Carlsbad, but don't realize that Carlsbad too will go down one day. Something I've had a hard time explaining to them. He's a bit older than me, and I don't do real estate for a profession, so to him, I'm just spouting off. Even though I told him to sell over a year ago and he now admits it also. I would decrease it like a user posted in another thread, take what money I got out of it and be happy I have that even, he doesn't realize how lucky he is still.

Submitted by movielover on November 9, 2007 - 3:06pm.

I was the one that suggested the redecor and staging. I think aside from those minor things, he also seriously needs to cut his price. He is still being a little greedy, but tell him to look at this way: he can also low ball in Carlsbad. He is one of the lucky ones. He can still make a decent profit, plus be a buyer in a buyer's market.

You can only lead a horse to water. It's up to him to start drinking. If he wants to hold out, then he deserves the harsh reality check he has coming.

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