Selling in 2025? What you Need to Know.
You know the scoop - it’s a Seller’s Market again and prices are strong. It a good time to be a seller!
Despite how quickly homes are selling, there are still some that sit longer than it feels they should be in this market. Why? Let’s explore.
The home was not priced accurately. And by this, I mean it was priced too high. Why would a house be priced too high?? There are a few reasons, but generally I would say it falls into three areas:
Agent inexperience - Newer agents, or agents who have not been trained properly in market value assessments and adjustments can often lend itself to either pricing a home too high. They also may not be able to extract and interpret relevant statistics, that are essential in defining pricing. Furthermore, inexperienced agents may be less comfortable about having honest pricing conversations. Although it can be uncomfortable at times, it ultimately is a disservice to all parties and counteractive to the goal of a quick, strong sale. This can cost you in the end.
Agent misrepresentation - Some agents will over-inflate a sale price to a seller, in order to secure the listing with a ‘let’s try it and see’ approach. However, as all agents have access to the same sales data and information, it is possible the agent may know that a price reduction will be in order later down the road. I do not use this approach as it is a waste of time and resources for clients and myself, and also will likely result in the seller taking a lower sale price than if the home had been priced properly in the first place.
Seller choice - Despite seeing sales data, some sellers will choose to price their home higher than recommended. This happens due to all sorts of well-intentioned reasons, and can go as far as listening to advice from neighbours and relatives, all the way to having a deep emotional attachment to the home. These reasons are all valid and very, very real feelings. The danger in this is that again, overpricing leads you to miss the initial buyer interest that happens when you enter the market, meaning you will sit on the market longer. Eventually, you will need to drop your price, and this makes you vulnerable to lowballs as you will increasingly find yourself in a position that you have to sell. It is very, very rare that a house that sits on the market for 30 days or more will ever receive the asking price it is posted with.
The home was not prepared well for showing before going to market. Such as:
Ignoring the impact of handling small repairs prior to going to market
Choosing not to do small updates like painting, or doing a very deep clean
Not believing in the power of staging - you’ve heard me talk about it over and over; staging modernizes dated homes, by showing buyers in a fully experiential setting, how furniture can impact, and compliment a space. Furthermore, vacant homes actually feel smaller without furniture in them.
Alone, and especially all together, these factors contribute to an overall vibe of the house. Buyers cannot quite articulate it all sometimes, but these are factors that will often result in feedback such as, “there is more work than the buyers expected,” “overall the buyers felt the home was in less than ideal condition,”, or “the price doesn’t match the work that needs to be done” - even if these statements are not true. Lacklustre vibes do not often result in excited, quick offers.
Buyer psychology is a HUGE area of study and conversely can be a huge barrier to a successful sale. It is easy to overestimate the power of the buyer imagination as well as their ability to accurately assess the amount of work that needs to be done, and that is why spelling it out for them can make a world of difference. Remember, home purchasing is largely as much of, if not more than, an emotional purchase as it is a financial one.
In short, yes there are tons of buyers out there, and yes, they are competitive! But even if they’re frustrated, they’re also not crazy, and they are not going to jump at any sale price. Because, especially if they’re frustrated, it becomes really, really hard to get them to part with their money for something that doesn’t impress them greatly.
I will leave you with one more piece of food for thought - this Seller’s market can often make some agents a little… lazy. Do not settle for this. Your home will actually not sell itself, especially for top dollar, without a solid marketing plan, high-end photos, and an array of options and tips that can make all the difference between a successful sale and one that feels like a bit of a slog.
Thinking of selling? That’s my expertise. Reach out and let me know how I can help you explore if, and when, selling may be right for you. Always, always pressure-free.