How to Sell Your House Fast in a Slow Market

Money magazine had a piece on home sales in its November issue. The part that caught my eye was a sidebar that suggested "How to Sell Fast in a Slow Market." The tip that stood out to me was:

The quickest way to get a house sold is to lower the price. It may also be the cheapest, once you factor in the mortgage, taxes and upkeep you'd pay while it sits on the market. But make the cut substantial, advises San Diego real estate agent Bonnie Adams of Coldwell Banker: "You want to beat the market down, not just follow it." That means at least a 10% cut for a house that's attracting few potential buyers."

This is good advice, but, as I've said before, people are often too emotional and financially tied to their house to take reasonable advice like this. They'd rather price high to "good," sit on the house for a few months, and then take the needed reduction they could/should have taken in the first place. Like the quote above says, consider what they spent to keep the house during this time, and you'll see that a price reduction that sells the house quickly can certainly pay off.

Comments

[Ann]

This is exactly how I sold my house in a very slow market! After listing it for 14 days, I dropped the price by 7% and it sold 4 days later for another 3% down.
No one else in my market was dropping prices at all, so I felt like a chump, but increasingly I read that I may have been on to something!
So thanks for posting this article from Money

[Mission Debt Freedom]

I'm always amused by the folks that won't drop the price $5k to generate some interest, and pay $6k in mortgage payments waiting for it to sell.

[Lord]

Some are limited by the debt against it, for whom 10% could amount to their entire equity, if not more. Desperate sellers usually have the most limited options.

[Migdalia Rosado]

I do not agree in dropping the price too much. What these people are doing is damaging the market when it is slow and byers and realtors are taking advantage of the equity you have accumulated in your home. If this is the way they are advising you to sell your home, why is it that realtors are not lowering their commision too. Let's be fair. The only one loosing here is the seller. Be strong and you know how much your house is worth and stick to it and do not damage the market. If every seller does the same thing, buyers will have to buy your price. Let them make offers and it is up to you to accept it. Do not allow the limited situation right now for people to take advantage of your money. Be strong. Let me recommend a good book for you to read Tough times never last, but tough people do. I have practiced this and it has worked for me. Give it a try.