Why is My Home NOT selling?

The time came to sell your home, and you were excited to get it on the market. You interviewed a few agents and picked who seemed like the best one. The agent explained how they planned to market the home. Then you discussed a price and when the best time to list the home would be. You prepared your home with a few renovations, cleaning and decluttering. 

The day finally came and your home hit the market. It’s a seller’s market so you are anticipating multiple offers that first weekend. Curiously, nothing happens. You think, ok, interest rates just went up and buyers are nervous.  Something will come this next weekend. Next thing you know it has been 30 days, then unbelievably, it is now 60 days and still nothing. You begin to think, “Why is my home not selling?!?”

There can be multiple reasons why a home does not sell. However, it mostly comes down to two main reasons. Every other reason is usually a subset of the two big ones: PRICE and ADVERTISING.

You’ve Set the Price Too High

By far, the number one reason homes do not sell quickly is the price is too high. Did you pick an agent based solely on the price they quoted you? Sometimes the best listing agent suggests a lower but more realistic figure. 

The tactic that so many agents use to try and get a listing is to quote a high price. Agents know that people see dollar signs and will go for whichever agent quotes the highest price. However, no agent can guarantee a certain price.  Price is set by the market and not the agent.  

How Do You Know if Your Home is Priced Too High?

It is actually quite complex pricing a home. You need to not only look at recent sales in the area, but you also have to compare square footage, amenities, location, age of the home, recent upgrades, and current market conditions. Homes can be getting 10-15 offers well over asking one month, then 1-2 offers at asking a few months later.  

If 95% of the homes in your neighborhood are not selling, then your home needs to be in the top 5% of the most appealing to buyers. No matter the condition of your home though, appropriate pricing can still make the home appealing to someone. If your home has been on the market for a period as little as two weeks, the market is telling you that particular home is not appropriately priced. Period.

The Danger of Starting High and Then Lowering the Price

If you go too high, you risk the home sitting on the market too long. You will have to drop the price, which can be the nail in the coffin of maximum profits and quick sales.  Yes, it is possible that a buyer will come along and pay a shoot for the moon price, but the chances of that are slim.  

However, if you price a little under the comps, you will get many more eyes on the property. This will potentially lead to multiple offers and a bidding war, and a much quicker sale.  

On the other hand, pricing too high risks being on the market way too long, having few if any offers, and settling for terms that may not be favorable to you because you only have one offer. 

Upon dropping your price only once, buyers start to wonder what is wrong with the house.  When you drop the price a second time, buyers will think they can give you a lowball offer.  You are obviously okay with dropping the price, so you will probably be willing to go even lower.

Are Enough of the Right People Seeing That Your Home is for Sale?

Great advertising is usually a combination of efforts. In order for the most buyers to see your property, your advertising must be comprehensive. It does no good if your home being for sale is the best kept secret in the area! If people do not see that your home is for sale, the price is irrelevant.  

However, it is not only the volume of advertising that is done, in many cases it comes down to targeting the ideal buyer for your home. This is THE most important part of selling your home quickly and profitably. Knowing WHO is most likely to buy your home will determine so much about HOW to sell your home. 

For example, if your most likely buyer is someone looking for a vacation home in Colorado, the buyers for your home will rarely be local. It most likely will require doing more than just listing it on the local multiple listing service. 

Highly targeted online marketing can include specialty websites, targeted online ads, as well as boosted social media engagement. Want to sell your home quickly? First make sure the most likely buyers can easily learn about it.

Is Your Real Estate Agent Doing Enough to Market Your Property?

Sometimes the problem with your sale is not your home. The real estate industry is like any other; some agents are better than others. The most important thing to consider when selecting an agent is what will they do to bring you a buyer and get you the highest price possible. 

It’s a common misconception that total years and number of deals in the industry determines who the best agent will be.  Just because an agent has done a lot of deals, or few deals, does not necessarily mean they will the best/worst. 

Unfortunately, some real estate agents spend no time or money in doing what it takes to market a home well. There are agents that have been doing this for years that know nothing about leveraging social media. Conversely, there are newer agents that might just “post and pray.” They post your listing in the MLS, put a sign in the yard and hope a buyer will come all on their own! 

Look at the details of exactly what your agent is doing to market your property. Are they spending any money at all? Are they creative? Do they utilize a combination of techniques?

You would be surprised to see the number of agents who do absolutely nothing to earn the thousands of dollars you are paying them. If your agent is one of these people, it might be time to find someone else.

What Else Can You Do?

If it is taking too long and you don’t want to accept anything thing less than a certain price, it might be time to do a bit more renovation. 

While you may perceive renovations as too daunting or even too expensive, there are some minor updates you can make that should help give your home a fresh new look and attract more buyers. The more buyers you have looking at your home, the more chance of a quick sale and higher profits.

1. Painting

Nothing can help the look of a room better than a fresh coat of paint. Painting is also one of the most cost-effective renovations you can do. Be sure to pick neutral colors. You can hire a professional, or do it yourself.  If you do it yourself, by a five-gallon bucket of a top neutral color (it’s more cost effective than by the gallon).  Also consider watching some YouTube videos that show proper technique.

2. Flooring

Updated flooring has been shown to be the greatest return on investment of all renovations.  There are numerous ways you can go here.  Wood flooring is the most popular, but also can be the most expensive. Consider looking at faux-wood vinyl flooring for a less expensive option. Keep carpeting only in bedrooms, and consider large section tile or vinyl flooring for the bathrooms. Be sure to not select flooring patterns that may only appeal to you.

3. Front Door

It may be surprising, but painting your front door a contrasting color (or even black) can add a lot of appeal to your home. You also may consider just replacing it all together.  Having a great looking front door can increase your curb appeal and make your home more memorable. Consider replacing screen doors with glass when possible.

4. Lighting Fixtures

Updating light fixtures in homes can have a huge impact on the feel of the home and not cost too much to replace. Old fixtures can make a home feel dated, not to mention dark and dreary. Go for a more modern look and replace bulbs with energy efficient LEDs.

5. Kitchen and Bathrooms

Total renovations of these two most important rooms in the home can get to a point where you won’t see much return on your investment.  However, they are the most attractive to buyers.  Many buyers look at the kitchen and the bathrooms first when checking out a new home, so it is important that they look bright and clean.

Re-caulking the tub is a must. Consider replacing the faucets and shower heads. It also would be a good idea to replace cabinet handles and towel racks. If your budget can handle it, replacing back splashes and wall tiles will go over well too. Stainless steel appliances are also highly sought after, but don’t break your budget if you have a nice set of black or white appliances. The age of your appliances is what is most important to consider. If they are approaching 15 years old it might be time to consider some newer models.

6. Landscaping

You don’t need to go overboard here. Some simple maintenance might be all that is required.  Make sure the grass is cut and bushes are trimmed. Clear out weeds in the driveway and/or sidewalks. Remove any dead plants or branches. Try not to add anything that will seem labor intensive to buyers, such as large flower beds.  However, adding a plant or flowers to your porch, or deck would be a nice touch.

While every home is different, many home stagers say that for every $1 put into a house, you should yield an addition $1.25-$1.50 increase at closing. Keep in mind that this is for basic renovations and updates.  Adding items such as a water feature to your back yard will probably not give you much, if any return, so be smart about your improvements. Feel free to seek my advice as well before you start any project.

What Can You Expect From Me As Your Agent?

When it comes to marketing your home, I will go above and beyond what you most likely are expecting. Here are just a few examples:

1. Rather than just listing your home in the local MLS, I will list it in multiple MLS databases. 
2. I will do targeted marketing utilizing multiple avenues of advertising to your most likely buyer.
3. I will market nationally through one of the largest network of agents in the world, my brokerage, EXP Realty, which has 90,000+ agents.
4. In additional to high quality images and drone shots, I will be posting the video tour on my YouTube channel and make it searchable on all search engines and linked in all advertising.
5. I will create paid social media campaigns on both Facebook and Instagram.
6. You will have your own webpage for your listing with the “story” of your home, rather than just the data.
7. I will also have a local lender produce a printout with information to help buyers have multiple options on how they can purchase your home.
8. Together, we will create a “what we will miss” handout for buyer’s so they can see even more details about how awesome your home is.
9. Include print brochures for display at your home
10. Make Just Listed Flyers and email to a large network of agents from multiple brokerages in Colorado.
11. Include an about the neighborhood handout that talks about the amenities of the area and the distance to area attractions.
12. Create print out cards to display around the home for buyers to notice small touches.
13. And much more…

Let Me Help

I hope you find this guide helpful. If you are having trouble selling your home, or if you are considering taking that step of putting your home on the market, be sure to reach out to me. Call/text me at 303-653-2563, or shoot me an email at dana@danascoloradohomes.com.

Also, if you or anyone you know is in the market to buy a brand new Colorado Home, be sure to check out my article on My Insider Secrets for Buying a New Home as well as my YouTube Channel where you will be able to tour lots of great new builds in the Denver Metro Area.

As always, my goal is to be your go to resource for all things real estate.