Here’s an obvious fact…some houses sell quickly,
and some houses don’t. What may not be obvious is why
this happens. For the most part, houses that sell right away
are priced right and are in good condition, which would lead
one to believe that the reason all houses sit on the market
is because they are overpriced or in bad condition, right?
Perhaps…but many times, the right buyer hasn’t
been made aware that the home is for sale.
So, if you have a
nice house listed at a fair price, you need to find the buyer
who is most likely to make an offer. Rely
on the marketing expertise of your REALTOR® to help you
find the target market for your home. Sure, there will be an
ad in the paper and in the home magazines that will reach all
kinds of buyers, but targeting your promotion is key. This
can be accomplished by using the internet, through direct mail
pieces, by placing ads in specific publications, and by highlighting
certain features of the home in all promotions.
A first-time
buyer probably has a lower budget than someone who is on their
second or third home, so inexpensive houses
should be promoted to those who are seeking their first home.
Usually these buyers are young adults, perhaps with no children,
and they may not have a lot of available cash for a down payment
or for home repairs. They usually aren’t looking for
a really large home, and they prefer locations where property
value will increase so that when it comes time for them to
purchase their second home, they will have gained some equity
just by owning the house for a few years. Because these buyers
are often young, they are internet savvy, and can be reached
through computer marketing efforts.
On the other hand, an inexpensive
house that is in need of TLC, or that is not located in the
most pleasant of surroundings
is probably more likely to be purchased by an investor, who
has the available cash to make the necessary repairs. Many
real estate agents are in touch with people who are always
looking for homes that they can “flip,” which means
they will do some work to the house then sell it again right
away for a profit, or they may choose to maintain the home
as rental property. Making other agents aware of properties
that fit this description is important.
Higher priced homes
should be marketed to existing homeowners. If buyers are
moving up to a more expensive house, they often
buy half again as much house as theirs is worth. For instance,
a homeowner who has a home worth $200,000 will probably be
most interested in moving to a home valued at $300,000. This
formula makes it easy to target entire neighborhoods of buyers
who may be considering a move to a more expensive house.
One-level
homes are appealing to older buyers who may have increased
difficulty negotiating stairs. Homes with stairs
may be more appealing to buyers with children, who may prefer
that the kids have their own space in which to make a ruckus.
Homes with small yards are appealing to singles and retirees,
and homes with large yards appeal to larger families.
There’s
no reason to waste time or money promoting your home to buyers
who have no interest. Talk to your real estate
agent about the features of your home in order to figure out
which buyers are most likely to purchase a home like yours.
Make your marketing count.
Claudia Stallings
Coldwell Banker Wallace & Wallace
