Why Did Your Home Listing Expire Unsold? The Market/Property Profile Formula
When you’ve kept your home show-ready, left for showing appointments and anticipated an offer for months, it can be quite frustrating when your home listing expires without a sale, or possibly even an offer. It’s tempting to want to place blame on marketing, your listing agent, a bad local market or other factors. It could be any of these or a combination. Let’s look at this situation as a very straight-forward analytical formula:
Time on Market = Supply + Price / Product Quality + Marketing
• If the supply of homes increases without a corresponding increase in demand, the time your home stays on market will increase. • If you increase the price, the time on market will increase. If you decrease it, the time on market will decrease. • If the quality of your home (appearance, staging, cleanliness, paint, maintenance) increases, the time on market will decrease. • If the quality of marketing increases, the time on market will decrease.
These statements are generalizations, but the ratios are such that increasing anything on top should increase time on market, while increasing anything on the bottom will generally decrease time on market. The bad news is that you cannot control supply/demand. You, or your listing broker, can control marketing, but it cannot overcome a supply overage or negatives in product quality or over-pricing. The good news is that you have some control over Product Quality and total Pricing control.
Take action today and let us help you to control the process. Call Jeff Ladd now at 314-808-6530 or 636-931-2211 or email me at jladd@cbgundaker .com and we’ll:
• Provide a comprehensive market supply/demand analysis • Provide a Comparative Market Analysis to allow you to view your home’s condition, features and price in relation to the competition • Provide an analysis of previous marketing and recommendations for future marketing and media tailored to your needs