Posted by Orin Sherman, MBA on July 15, 2009 at 12:50 am
Those of us that watch cheesy cable shows about fixing up your home, staging and selling it for a fortune probably wonder what seller's were thinking when you walk into the "Lived in Look". Which is a nice way of saying, the home does not show well because it looks used. Yet the seller thinks to advertise a price of a new home. My example is today I looked at three properties with a client that is ready to buy now. So the first home is a 2009 remodel and priced below the next candidates and shows well, it is cleaned out, not staged which would have made it an immediate sale and properly gotten the seller an additional $20,000. Anyway, it was a nice show as a remodel. The next home, which is the priciest of all three is one, backed up to the main road and second "lived in". When I say lived in, I mean, the carpets are unsanitary, stained and torn. The walls have holes in them which is fine if you want to see your neighbor in the next room or what's for dinner, literally. It is absolutely cluttered with furnishings and finally the "lived in" smell. We all know it when we smell it...it is the smell of death for a Realtor showing the home. Personally, as a Realtor, I was disappointed in the seller for not even trying and then pricing it as if it was near the beach when bumped up to a high speed road and school. Can we say "very loud" or in real estate "very undesirable". The final home was dismissed as quickly as we arrived. The house had portions from another connected to it, like a Frankenstein of homes. This VA loan recipient was not going to get this past an appraiser but for education purposed we looked anyway. If the outside was bad, the inside was worst. Why even show a home that has a bathroom the same color as the dirt outside the home. For fear of getting hepatitus or worst, we ran out of the home. As for the price, it was the second most expensive. To its credit, it was a bank owned property but listed as VA which means it would pass a VA inspection and should look decent. No!!! is all I could think. So I drew up three contracts and placed one offer on the first home that was remodeled and empty. Who's to blame? I would say, the person getting paid whether it is an owner sale, bank or a Realtor. So owners, please take heed and know that people are actually seeing your home. This is their impression of you and the home. It is of no service to your credibility to have a home that smells like a barn, don't expect full price unless you want to take a 10% reduction. Agents and brokers, this reflects on you as well. You are the "enabler" allowing people to act a fool when you know better. Please take responsibility and earn your money, a good Realtor will net a good amount 5% - 10% more on a sale, IMO. Banks, well you are banks and just ask taxpayers for money when things don't work out. I don't expect change their, but the agents representing them should not as much so people are not scared off at the first site of plywood patched over a hole on the exterior wall. That ends my day of showings...
Those of us that watch cheesy cable shows about fixing up your home, staging and selling it for a fortune probably wonder what seller's were thinking when you walk into the "Lived in Look". Which is a nice way of saying, the home does not show well because it looks used. Yet the seller thinks to advertise a price of a new home.
My example is today I looked at three properties with a client that is ready to buy now. So the first home is a 2009 remodel and priced below the next candidates and shows well, it is cleaned out, not staged which would have made it an immediate sale and properly gotten the seller an additional $20,000. Anyway, it was a nice show as a remodel.
The next home, which is the priciest of all three is one, backed up to the main road and second "lived in". When I say lived in, I mean, the carpets are unsanitary, stained and torn. The walls have holes in them which is fine if you want to see your neighbor in the next room or what's for dinner, literally. It is absolutely cluttered with furnishings and finally the "lived in" smell. We all know it when we smell it...it is the smell of death for a Realtor showing the home. Personally, as a Realtor, I was disappointed in the seller for not even trying and then pricing it as if it was near the beach when bumped up to a high speed road and school. Can we say "very loud" or in real estate "very undesirable".
The final home was dismissed as quickly as we arrived. The house had portions from another connected to it, like a Frankenstein of homes. This VA loan recipient was not going to get this past an appraiser but for education purposed we looked anyway. If the outside was bad, the inside was worst. Why even show a home that has a bathroom the same color as the dirt outside the home. For fear of getting hepatitus or worst, we ran out of the home. As for the price, it was the second most expensive. To its credit, it was a bank owned property but listed as VA which means it would pass a VA inspection and should look decent. No!!! is all I could think. So I drew up three contracts and placed one offer on the first home that was remodeled and empty.
Who's to blame? I would say, the person getting paid whether it is an owner sale, bank or a Realtor. So owners, please take heed and know that people are actually seeing your home. This is their impression of you and the home. It is of no service to your credibility to have a home that smells like a barn, don't expect full price unless you want to take a 10% reduction. Agents and brokers, this reflects on you as well. You are the "enabler" allowing people to act a fool when you know better. Please take responsibility and earn your money, a good Realtor will net a good amount 5% - 10% more on a sale, IMO. Banks, well you are banks and just ask taxpayers for money when things don't work out. I don't expect change their, but the agents representing them should not as much so people are not scared off at the first site of plywood patched over a hole on the exterior wall. That ends my day of showings...
Have a great Wednesday all!
Orin Sherma MBA, (RA) ePRO