Your seller wants $950,000 for the property but it’s getting no interest. You have a buyer in the $850,000 to $880,000 range who may come up in price if they see something in it that they want. What do you do?
“But if they see it listed at $950,000 and they’re at $850,000, they are probably not even going to look any further,” says Century 21 owner and chairman Charles Tarbey.
Familiar? Here’s what Mr Tarbey suggests you do.
“Call your seller once a week,” he told Tom Panos, as part of Mr Panos’ Real Estate Gym series.
“Let them know what people you have in the marketplace and tell them you’re going to give them an opportunity to say ‘yes’ or ‘no’ to inspections.
“Tell the seller, ‘Now look, I know you want $950,000 for your property. I’ve got three people on my database here that are looking in the high eights. I know that is a lot less than what you want. But they may come up in price, but I’m not sure.’
“And then I’d ask, ‘Would I be wasting my time bringing them around?’”
Mr Tarbey says these are the key words, “Would I be wasting my time?”
When he poses that question he typically gets one of three answers.
“‘You are wasting your time Charles’ or, ‘Do you think they will come up in price?’ Or they’d say, ‘Look, we have got nothing to lose. We don’t have to take an offer do we?’”
“‘No, you don’t have to take any offer you don’t want.’
“‘Okay, bring them around.’”
Mr Tarbey says if people still don’t buy after that, it sends a clear message to the seller – that they are out of the market with their price expectations.