We Realtors really hate being negative. I myself fall in that same category. I like being positive and working hard for my clients. So when a home isn't selling and everyone is looking around scratching their head you need the truth. That should come from your real estate professional but sometimes it doesn't.
To help you, I prepared a list of triggers I use with my sellers to help us identify early when a home is over priced. Now before you get all upset about price, keep in mind no pricing model is exact. Even Walmart and your local grocery store do mark downs. Of course every market is different and there are differences in price ranges. So listen to your Realtor, that's why you hired them.
1. Are you getting a trickle of showings? Or no showings? This is my number one trigger for over pricing. If you go 3 weeks and aren't getting more than a few showings then you can take it to the bank that the market is rejecting your home at this price point.
2. Neutral feedback. This is a subtle one because nothing really sounds bad when you read it. But no offers have yet to come in. If you are having a good number of showings but all the feedback is neutral then I usually recommend a minor price reduction. This paired with refreshed marketing almost every time produces an offer. If all feedback is negative then we know something with price needs to be done.
3. Has your Realtor told you the home is over priced? Then it usually is. Remember you hired this person for a reason and their entire life is geared towards selling your home. Listen to them.
4. Was your home hosted open recently? How many people came through? Well I can tell you that if the answer totaled to zero, then you are over priced. This of course is only if there aren't mitigating circumstances such as weather or a Packer game.
Below is a graphic that should help put home pricing in perspective.
There really isn't much more to it. If one or all of these instances are taking place in your selling world then you are priced too high and you should chat with your agent. On a side note, if you have all or any of these triggers taking place and your Realtor hasn't discussed price with you, maybe you should talk with another Realtor.
-Dylan A. B. Diersen
First Weber, Inc
Dylan has been quoted on by national new outlets and has multiple designations recognized by the National Association of Realtors. Also, he has consistently helped more and more people achieve their real estate goals by increasing service. You can see more blog posts at FoxCitiesProperties.com/blog or keep in touch on Facebook at https://www.facebook.com/WisconsinRealEstateExpert/