Realistic Sellers Sell Their Houses
January 25th, 2012 categories: Selling Strategies
A few days ago, I showed a house to a motivated couple who want to find their next Denver home before Valentine’s Day.
They liked it, and decided they might make an offer. Being savvy buyers, they asked me to give them an analysis of other properties that had recently sold around the listing they were considering.
I also pulled the history of the listing, and we found that the house had been on the market for 10 months, with two different real estate brokers. I called the current broker and asked him a few of the usual questions, when do the sellers want to close, is there anything we need to know, etc.
Then came the shocker. The broker said, “I’d suggest your buyers not low ball the price, these sellers don’t have to sell.”
Wow! They’ve endured showings for 10 months, kept the house in show-ready condition, and expected their broker(s) to work hard on the marketing. You almost wonder if that For Sale sign means anything?
I’ve heard sellers tell me this same thing in listing appointments, “I don’t have to sell, so I won’t take anything less than my price.”
Sellers Beware! You may not sell your house if this is your attitude. Don’t expect a professional broker to come in armed with her analysis and years of experience, only to tell her you’ll decide the price. Pricing is not an exact science, and it’s definitely a collaborative effort with sellers’ motivation factored in, but don’t throw out the baby with the bath water. Pay attention to the data if you really DO want to sell your house.
There are times when the initial analysis needs adjustment based on the ever moving barometer of closed sales, and the broker doesn’t always nail it the first time. In certain instances an initial market analysis might actually be a little high, and downward adjustments are warranted. If the seller and the broker can collaborate based on a new analysis, it will be a much better working relationship than one based on a seller dictating the price without credence to the market. If the price is low, you’ll know by the bidding war that ensues. If the price is right, you’ll sell quickly without a lot of drama.
Buyers won’t offer you what you need. They won’t offer you what you put into it. They won’t offer you what you owe. They’ll offer you what their own analysis suggests is a realistic price – less some negotiating factor. Buyers don’t walk in and over pay because you have your house on the market and you’re a nice, deserving person. In fact, you’re reinforcing their decision to go make an offer on the competition.
Sellers – if you don’t have to sell, then your house isn’t really “on the market.” Save yourself months of grief and frustration. Save me and my buyers some time, please. Thank you.
Gretchen Faber works with buyers and sellers in Metro Denver’s luxury home market, as well as in-town neighborhoods, new construction and corporate relocations. Check out all the Metro Denver listings at www.GretchensDenver.com.
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1115 Madison Street in Denver’s Congress Park
November 28th, 2011 categories: LifeStyle Listings
This lovely cottage will make the perfect starter home or rental.
Denver’s rental vacancy rate is unusually low, and as an investor this home would make an excellent rental property. The location is stellar.
Updated kitchen & bath, bright, sunny rooms and a lovely yard. Enjoy summer evenings on your front porch. Wood and travertine tile floors add elegance. The finished basement with recessed lighting adds amazing space for a family room or office. Just steps to restaurants, coffee & ice cream shops.
Priced at just $274,000. Click the contact button above to schedule a showing. The full property web site can be viewed at www.GretchensDenver.com.
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Should I Decorate My Listed House for the Holidays?
November 16th, 2011 categories: Selling Strategies
Every year, sellers ask whether they should decorate for the holidays.
The answer is yes! Within reason. Here are 5 things to keep in mind:
- Keep it simple. Don’t overdo the clutter or festive air. Less is more. Just like you cleaned out your closets to make your home feel larger, resist the temptation to pull out every decoration you’ve collected over the years and fill up the space.
- Tasteful decorations add to the warmth and homey feeling, but over-the-top or outlandish will distract from the buyers’ opportunity to see the bones of your house.
- Resist the temptation to advertise your religion too strongly. Remember, you’re trying to make everyone feel that your house could be their house. Don’t alienate potential buyers who may have a different faith than you do. Christmas wreaths and trees or Hanukkah menorahs are wonderful expressions of tradition, and are fine decorations.
- Take the decorations down immediately after the holidays! Don’t leave them up much past the first week in January. Your cozy decorating will feel stale as soon as the new year bells stop ringing.
- If you don’t celebrate the holidays, consider adding more lighting, candles or flower arrangements for showings. Make potential buyers feel at home and ready to celebrate their next holiday in their new home.
LifeStyle Denver is a Denver real estate and lifestyle blog authored by local Realtor Gretchen Faber with The Kentwood Company at Cherry Creek. Subscribe for up-to-date Denver information!
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221 South Garfield Street in Denver’s Cherry Creek
November 6th, 2011 categories: LifeStyle Listings
Denver’s Cherry Creek neighborhood has been called the “Gold Coast” of Denver real estate.
You can live the Cherry Creek lifestyle for a bargain in your own renovated condominium at 221 South Garfield Street #105. The price for 1,580 square feet in the heart of Denver is $319,900. The unit has 2 bedrooms, 2 full baths, 2 underground parking spaces and a lovely patio.
The owners have recently repainted, re-carpeted and added new kitchen appliances. You’ll be walking distance to the dining and shopping in Cherry Creek North, the Cherry Creek Shopping Center and only 10 minutes to downtown. Contact Me to check it out! And search for other Cherry Creek properties at www.GretchensDenver.com.
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Gretchen Faber Presents 2600 South Madison – University Park
January 26th, 2011 categories: LifeStyle Listings
You’ll find all of today’s modern conveniences in this 2005 custom-built home. Observatory Park is among Denver’s most popular neighborhoods and boasts leafy trees, quiet walks, parks and paths – you’ll be thrilled to call this house home.
Every element of this outstanding home was designed with today’s lifestyle in mind. The main floor is open, roomy and wraps around the dramatic central stairway. Each room is large and comfy. The modern kitchen is complete with slab granite counters, high-end finishes, stainless appliances and opens to both the breakfast nook and the family room.
The formal dining room is connected to the kitchen by a full-service Butler’s Pantry and the garage is steps from the kitchen through a well-equipped laundry and mud-room. A large study or formal living room off the foyer adds wonderful space for a work-at-home office or a quieter entertaining spot.
The 4 bedrooms up each have their own full bath, terrific windows, and outstanding closet space. The master suite is complete with a gas fireplace, huge master bath and a large walk-in closet.
The professionally finished basement was designed with daily use in mind. Enjoy movie night in the theater area complete with wet bar, a crafting area and space for a pool table. Offer your guests comfort and privacy with a separate basement bedroom and bath.
Offered for sale at $1,150,000. Lease opportunity also available.
Search for this and other Denver area homes at www.GretchensDenver.com.
This property was leased in March 2011. Thanks for stopping by!
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6128 Montview Boulevard – Presented by Gretchen Faber
June 12th, 2010 categories: LifeStyle Listings
This property has been leased – September 2010
Live on Park Hill’s timeless boulevard in a home so gracious and comfortable you’ll never want to leave.
This home’s craftsmanship and classic elegance are apparent from the time you step in the front door. The grand two-story foyer has a double white-birch stairwell that sets the tone for elegance. Custom moulding frames the wide arched doorways throughout the home, illustrating the fine architectural details.
Gleaming hardwood floors cover the main level and French doors open graciously to two terraces and a three-tiered Trex deck with a pergola, fountain and surround sound perfect for entertaining.
The great room is the heart of the home with a large open floor plan, fireplace and custom kitchen that features black granite counter tops, a double oven and Bosch and GE Profile appliances. The breakfast nook is a bright sunny space – perfect for your morning coffee.
On the upper level the master suite also includes French doors leading to a charming balcony, in addition to a two-sided fireplace, a five-piece bath, and a massive closet sure to thrill. Adjacent to the master is a large loft, perfect for a library or reading area.
Year round comfort is assured with Pella windows, two air conditioners, two furnaces and a seventy five gallon hot water heater. The home also has a security system.
Tucked away on a lushly treed corner lot, facing one of Denver’s famous Boulevards, this home’s curb appeal is enhanced by professional landscaping and extensive architectural lighting.
You’ll marvel at the enormous four-car garage with additional storage and a finished basement with a bedroom and bath.
Enjoy all that Park Hill has to offer, parks and boulevards, neighborhood shops and restaurants and close proximity to downtown and Cherry Creek. This home is exceptionally well-priced at $840,000 and awaits you!
For a full tour and extensive photography visit the custom web site at www.6128Montview.com.
PROPERTY INFORMATION
- Style: Two Story
- Bedrooms: Four
- Bathrooms: Five
- Fireplaces: Two
- Garage: 4 Car Oversized
- Square Feet: 4,137
- Total Sq Feet: 5,492
- Lot Size: 9,870
- Floors: Hardwood, Tile, Carpet
- Heat/Cooling: Gas Forced Air, A/C
- Utilities: $270/Monthly Average
- Construction: Stucco
- Year Built: 1996
- Taxes: $5,200.70
FLOOR PLAN
Main Level: Entry, office, living room, family room, dining room, breakfast nook, kitchen, full bath, half bath and laundry room.
Upper Level: Master suite with walk-in closet, sitting/TV area, two additional bedrooms and one additional full bath.
Basement Level: Guest suite with full bath and storage area.
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5 Steps to Selling Your House in a Crazy Up and Down Market
August 30th, 2009 categories: Selling Strategies
You have your house on the market and you say you want to sell it. Do you really?
I find that there are a lot of homes for sale that aren’t really, “on the market.”
What do I mean by that? Ask yourself, “how many showings have I had this month?” “Am I reacting to the feedback I’m getting?” “Am I even getting feedback?”
Are you taking a defensive posture with your broker? Are you thinking of moving on to your second, or even third broker? Chances are, it’s not your broker – it’s denial. We all have moments of denial, maybe I should call it exuberant optimism, in case you feel insulted that I say the “d” word about you and your beautiful house. But there comes a time to wake up and smell the coffee and make the tough decisions.
Step 1 – Decide if you’re committed to listening to the feedback. The feedback from the brokers showing your home and from your own broker. I typically use 30 days and/or 30 showings as a benchmark. If you don’t have an offer after that many bona fide buyers have walked through the house something needs to change. If 30 days have gone by and your house isn’t being shown, then something needs to change. Of course, there are instances when there just aren’t any buyers in the market your house falls into, and then perhaps making changes won’t result in much. However, too many sellers think that’s the case for them, and they agree to make only slight changes. The slight change doesn’t introduce the house to a new market, but it gives the seller a change to say to his broker, “see, I told you there just weren’t buyers out there.” or “You aren’t marketing the house enough, and that’s why there aren’t buyers.” A $3,000 price change is nothing. As, Larry Kendall, the guru of real estate says, “Remember, no amount of marketing will overcome poor pricing.”
Step 2 – Ask your broker for an absorption rate positioning study. Most brokers know how to calculate the absorption rate for their cities and neighborhoods. Have you seen that from yours? It’s an analysis that will give you a very good idea how many months of supply you have in your market. Currently in Denver, we have about 5 months supply in the lower price ranges. This is a good number and indicates market stability. Conventional wisdom says anything over 6-7 months show signs of a weak market. In our high end market we have about 7 years supply. That is most definitely a weak segment of the market. It’s not enough to know the absorption rate. You want to know how you are positioned against the competition. Take the sales rate (absorption rate) and divide by the number of properties currently on the market (including yours.) This will give you your odds of selling this month. If your odds are low, then you need to work hard to rise to the top of the heap. Lower the price so you look the most competitive, consider remodeling, staging, planting flowers, painting. Anything you can do to come out in the top houses.
Step 3 – Calculate your “walking away money.” Sellers are fond of telling us they, “need this amount of money out of my house.” They say they need it for their next house, to pay off debt, or so they don’t have to bring money to the table. Some sellers become shortsighted and reject an offer or don’t negotiate hard enough because of this perceived bottom line. The thing they forget to figure into the calculation is carrying costs. In some cases, houses are selling fast and they might be confident that they will get another buyer right away. But if it took you months to get the first offer, it might take months to get another. And usually the second offer is worse than the first one was. Remember to figure in your monthly carrying costs along with your loan and expenses to get to your “walking away money.” This might make that offer seem a little more appealing.
Step 4 – Keep your house clean. That seems pretty obvious, right? I guess it’s not, or some people have very different ideas of what clean is. I walked into a house today with the worst cat odor in the basement you can imagine. Putrid was my thought. My buyer covered her nose and ran back upstairs. If you live in an area that has a Pottery Barn or a Crate & Barrel, just go walk through those stores for an hour. I’m not suggesting that your decorating style has to be the ubiquitous Pottery Barn style. I am suggesting that while your house is on the market it needs to become a model home. Sometimes uncomfortably so. Hopefully, it’s only for a short while, but think about it as not your house anymore.
Step 5 – Have a crucial conversation with your Broker. The stakes are high and you want to sell your house. Agree to become a partnership. If your broker is exposing the house, and if you’re getting feedback that something needs to change, then you need to do your part. The two of you should lay out a calendar. In this calendar put your broker’s responsibilities in one color – the dates of ads, when it’s posted online, dates of open houses, etc. In another color, put your own responsibilities. This is a two way street, Mr. Seller, it’s not all on your broker’s shoulders. Your responsibility is to react to the feedback without getting emotional or defensive. Don’t say, “they don’t know what they’re talking about, it would only take a few thousand dollars to finish the basement and they could do it the way they want it.” If buyers are passing your house by for finished basements then you have two choices – reduce the price or finish the basement. You choose, but do something. Defensiveness and sneering at “stupid feedback” will not sell your house.
Houses are selling, in all price points. The houses that sell the fastest have the most motivated sellers. Get your house at the front of the line – be proactive not reactive.
Thanks to Larry Kendall, of The Group in Fort Collins, for sharing his wisdom about absorption rate positioning and calculating walking away money.
Want to search for Denver Homes for Sale? Click the link at the top of my page and enter into the best site in Denver for an immediate home search. You can search by neighborhood, by map area or by price!
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