6 Reasons to Reduce Your Home Price
While youd like to get the best price for your home, consider our six reasons to reduce your home price.
If you don't receive any offers for a few weeks, check out other comparable houses on the market and what they're going for. Image: Liz Foreman
Home not selling? That could happen for a number of reasons you cant control, like a unique home layout or having one of the few homes in the neighborhood without a garage. There is one factor you can control: your home price.
These sixsigns may be telling you its time to lower your price.
1. YOURE DRAWING FEW LOOKERS
You get the most interest in your home right after you put it on the market because buyers want to catch a great new home before anybody else takes it. If your real estate agent reports there have been fewer buyers calling about and asking to tour your home than there have been for other homes in your area, that may be a sign buyers think its overpriced and are waiting for the price to fall before viewing it.
2. YOURE DRAWING LOTS OF LOOKERS BUT HAVE NO OFFERS
If youve had 30 sets of potential buyers come through your home and not a single one has made an offer, something is off. What are other agents telling your agent about your home? An overly high price may be discouraging buyers from making an offer.
3. YOUR HOMES BEEN ON THE MARKET LONGER THAN SIMILAR HOMES
Ask your real estate agent about the average number of days it takes to sell a home in your market. If the answer is 30 and youre pushing 45, your price may be affecting buyer interest. When a home sits on the market, buyers can begin to wonder if theres something wrong with it, which can delay a sale even further. At least consider lowering your asking price.
4. YOU HAVE A DEADLINE
If youve got to sell soon because of a job transfer or youve already purchased another home, it may be necessary to generate buyer interest by dropping your price so your home is a little lower priced than comparable homes in your area. Remember: Its not how much money you need that determines the sale price of your home, its how much money a buyer is willing to spend.
5. YOU CANT MAKE UPGRADES
Maybe youre plum out of cash and dont have the funds to put fresh paint on the walls, clean the carpets, and add curb appeal. But the feedback your agent is reporting from buyers is that your home isnt aswell-appointed as similarly priced homes. When your home has been on the market longer than comparable homes in better condition, its time to accept that buyers expect to pay less for a home that doesnt show as well as others.
6. THE COMPETITION HAS CHANGED
If weeks go by with no offers, continue to check out the competition. What have comparable homes sold for and whats still on the market? What new listings have been added since you listed your home for sale? If comparable home sales or new listings show your price is too steep, consider a price reduction.