OK... So here's the scenario...
You have a home, or piece of real estate for sale. You KNOW that you want to use a real estate professional to help you with your sale, but you just aren't sure who to call. Being the responsible consumer that you are, you decide to follow Mom's advice and interview three agents before deciding who to list with.
AGENT A - Meets with you, and gives you his assessment of what it will take to sell your property. Based on the current slow market, he advises you that it may take 90-120 days to get an offer. He also tells you that in order to compete with the 500 other listings for properties JUST LIKE YOURS, you may need to have a lower price, ESPECIALLY if you need to sell your property more quickly. After a careful analysis, he comes up with a price of $350,000. In your mind, this doesn't sound all that great, after all you were hoping for closer to $400,000. That's what the Jones' got for their house last year... right down the street.
AGENT B - Meets with you next - After a long discussion and a careful analysis on her part... the conclusion ends up being pretty much the same. "WOW - I guess our home just wasn't worth as much as we thought," you say to your spouse.
AGENT C - Comes to your home, takes a look around, and asks you how much you were looking to get for your home. When you tell him $400,000 he lights up with a smile. "That's just the number I was thinking." Finally! Someone who agrees with you. Your sense of want takes over, and suddenly both of the other two agents you interviewed fade from your memory. How is this guy going to market your property? What will he charge? Who cares? He told you what you WANTED to hear. The only question left is "WHERE DO I SIGN?"
We all LIKE being told what we want to hear. Here are some things I would like to hear from the professionals I work with:
My CPA - Don't worry about the IRS, they never audit people anyway, and I can make sure you NEVER pay a dime of taxes on any of your income
My Attorney - Illegal Schmegal, Just do whatever is best for your own interests, and leave the legal questions to me
My Doctor - Don't worry... go ahead and smoke, drink and eat whatever you want, I can cure anything with this little blue pill.
My Financial Advisor - I can guarantee you 120% annual returns on your investments
My Realtor - Sure your house is worth $200,000 more than you paid for it last year
These all sound nice, but they are fantasies. We wouldn't accept these statements on face value from a CPA or a doctor, but our sense of greed always comes in to play when looking to sell our property. Why is that?
The fact is, we are in a tough market right now. Properties are selling for less that what they did just a few months ago in some cases. It requires a professional agent who know's what they are doing in order to get the most money for your property. OVER PRICED LISTINGS will hurt the bottom line for you, when you finally do come out of fantasy land and decide to lower your price, it may be too late. All the newness of your listing will be gone, and at the rate things are going, your property may be worth a little less in 90 days that it is worth today. When you return to Agent A, you will find he now thinks you need to start at $340,000 just to get enough attention.
These unprofessional agents are everywhere, they not only hurt their own clients, but the whole market, by keeping listings on for month after month that DO NOT SELL. I will be happy when these agents finally are no longer able to sustain themselves in the real estate industry, and find an alternative career path, as only then, will this market turn around.
Ralph D. Nudi