Why Houses Do Not Sell In a Strong Market.

William Soto
Published on February 5, 2019

Why Houses Do Not Sell In a Strong Market.

As we continue into spring many southern California homeowners find themselves asking the question, “If we’re currently in a strong real estate market, why won’t my house sell?”

Below are the 6 most common reasons why a listing contract will expire:

1. The Price

Sometimes when the market is hot, homeowners attempt to set their listing price higher. Their hope is that a motivated buyer will be willing to pay any price for a house in their desired neighborhood! Sellers must remember, though, that in today’s market a house must be sold twice; first to the buyer and then to their bank.

A buyer can agree to pay the homeowner’s asking price, but after the bank conducts their appraisal, the price might need to be adjusted. The bank will only give the buyer a mortgage for the value of determined in the appraisal.

Sellers must also keep in mind that today’s homebuyers are well-educated. Before they look to buy a house, they have already seen many houses online. They’ve done their research on the neighborhoods they are interested in, including information on the school districts in the area.

 

Pricing accordingly is especially important as there are 70% more homes for sale right now in southern California than there were at this same time last year. With housing inventory at the highest rates we have seen since 2012, buyers have an abundance of options to select from and sellers need to set themselves apart from the competition. An opportune segue into our next topic…strategy.

2. Consider Changing Your Sales Strategy

The definition of insanity is to repeat the same process over and over again, but expecting different results. If your home hasn’t sold after the first or second attempts, the time has come to reassess your strategy before locking yourself into another lengthy listing contract. A failed home sale can be an incredibly frustrating experience costing the seller valuable time, and money.

Consider implementing a different approach to your home sale. Check out our suggestion for anyone who has either had a listing expire or encountered difficulty selling their house.

One solution to consider: a retail auction home sale utilizing a popular platform creating unprecedented results in the Southern California market. Contrary to popular belief, an auction home sale is not for distressed properties, but rather homes intended to sell for full market value. Auction listings typically sell in far less time than the standard “list-and-wait” home selling process and is the primary way real estate is sold in many other countries.

The average days for an auction home to sell in Southern California is 35 days with 90% success rate, whereas a standard home sale in southern California is up to 130 days on the market and with only a 40% success rate.

That said, all auction sales are not created equal. As the success of this selling strategy continues to grow in popularity among homeowners, many southern California Brokers have been quick to jump in to meet demand by offering auction sales to their clients without fully understanding how to execute the process effectively. We strongly encourage that you perform due diligence in interviewing agents and ultimately select someone who specializes in auction home sales.

Our pick… Harcourts Auctions who has been a recognized industry leader in retail auction home sales worldwide for more than 130 years. Harcourts USA headquarters are located in Orange County California with offices available throughout California, as well, Nevada, Oregon, Arizona, Hawaii, New Mexico… and quickly expanding.

Want to learn how more than 1200+ homeowners sold their house in less than 35 days with a 90% success rate? Click here to see the auction platform local industry experts recommend most.

Want to learn how more than 1200+ homeowners sold their house in less than 35 days with a 90% success rate? Click here to see the auction platform local industry experts recommend most.

3. The Condition of the House

In many areas, builders are taking advantage of the of the high inventory of homes for sale by building new houses. These newly constructed homes create competition for existing homes in the market. For this reason, many homeowners are making renovations and updates to their homes to compete with the new construction in their marketplace.

Most agents recommend that homeowners declutter their houses before putting them on the market. Buyers want to be able to imagine themselves living in the home instead of focusing on the current homeowner’s decor.

It’s important to take care of the small problems like dripping faucets and torn screens, while also remembering to remove any posters hanging in your teenager’s bedroom. Making sure your home is in perfect condition will make buyers fall in love with it and will ultimately help you get the right price for your house!

4. Seller’s Motivation

Why did the seller put their house on the market in the first place? Is the seller’s motivation still the same as it was when they first listed?

If homeowners are really motivated to sell, they will make sure their houses are both priced right and in good condition. The seller’s motivation will push them to consider all offers and help them make the right decision for their family’s future.

5. Marketing Plan

Having a marketing plan is important! According to NAR’s 2018 Profile of Home Buyers and Sellers, 95% of buyers searched online for a home last year. The days of looking for a newspaper ad or yard sign in your preferred neighborhood are over.

If you want to sell your home, you need a real estate professional who understands your local market and knows how to promote your home online. Something as simple as using pictures taken by a professional photographer can make a huge impact in advertising your home!

6. Your Real Estate Agent

Keeping an open line of communication with your agent is crucial in getting your home sold with the least amount of hassles, in the right amount of time, and for the right price! From the beginning, establish a continuous line of communication with your agent, and make sure you review your agreement often to see if any changes need to be made. For example, adjusting the selling price!

Just because a home didn’t sell in the past, doesn’t mean it can’t be sold. I’ve seen many homes fail to sell with one agent, only to quickly sell with another agent who took a different approach. Not all realtors are created equal. Be selective and interview Realtors carefully to identify the right agent for your next move.

Many clients come to me as a Real Estate Broker who specializes in working with expired homeowners who need to sell their home after failing to do so with another agent.

I’ve even written a book that has helped hundreds of expired homeowners sell their homes. In this book, I share all of the top strategies used for my clients to help them successfully sell.

For a limited time, I am giving away my book for free. I will even cover the cost of shipping! Click below to grab your free book before they are gone>>>

 Selling Your Home After the Listing Contract Expires - FREE BOOK!
This book addresses the most common reasons a home didn’t sell and offers solutions to prevent it from expiring in the future.   We have helped hundreds of expired homeowners sell their homes — and for more money than they initially thought.
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Bottom Line

Find an agent whose niche market serves your local area, has a sound strategy in place, experience with selling homes that are difficult to sell or expired, exceptional marketing, years of experience and a track record of successful sales backed list of glowing testimonials. If you hire the right Realtor from the start, you will hopefully never find yourself facing this predicament.

There are houses selling every single day because they are listed at the right price, have the right marketing plan, and are staged for the sale. If for some reason your home didn’t sell and you’re still motivated to get it sold, contact a local real estate professional who can help you figure out the reason your house isn’t selling!

Some Advice…

I understand the frustration and stress of a failed home sale. It’s something many of my clients experienced before they hired me as their Real Estate Broker.

But just because your past selling experiences may not have been positive, I’m here to tell you that your home can sell. You just need the right tools to get it sold.  

So why didn’t your home sell? First and foremost you should know that it’s not your fault.

There are many reasons a listing contract expires — as we just covered in detail above – and contrary to popular beleif an inflated price tag isn’t always to blame. In fact, in my experience, poor marketing and agent strategy are the primary causes of a failed home sale.

Would you still consider selling your home – if you could get the right price?

If you said “Yes”, then I want to give you all of the insider tips I know about selling homes — with no obligation — right at your fingertips.

I specialize in working with expired homeowners and will share all of my top strategies for how I successfully have sold my client’s homes after they failed to sell on first attempt. 

I’ve created a seller guide using the exact same process I’ve used to help more than 1200+ homeowners sell their homes for the highest price – in the shortest timeframe.

Without all the overwhelm and headaches often associated with selling a home.

Why should you consider me a reliable resource on this topic? Not only do I specialize in working with expired homeowners, but am ranked in the top 1% of all Orange County Realtors. I have over 18 years of experience as a Real Estate Broker and am the Managing Partner of Harcourts USA Headquarters Prime Property office in Aliso Viejo. I was born and raised as a local Southern Californian and live here with my wife, Erin, and our four children.

My goal is to empower you as an informed consumer in the real estate market and am happy to share my exclusive resources with you. You can immediately begin to implement them and give yourself a head start for a successful move.

As a trusted expert on expired listings, I’ve written a guide for Selling Your Home After the Listing Contract Expires. In this guide, I share all of my top strategies and actual examples from clients who have used them successfully.
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This free guide addresses the most common reasons a home didn’t sell and offers solutions to prevent it from expiring in the future.

You will learn:

  • Why listing price isn’t the only factor that affects a sale
  • The top six reasons a listing contract will expire – even in a strong market
  • How to sell a home that didn’t sell — without dropping the price
  • Why some houses sell faster than others – hint: it’s not what you think
  • Marketing techniques and strategies to improve your chances of selling

My guide has helped hundreds of expired homeowners sell their homes — and for more money than they initially thought.

Click below to have my free seller guide sent to your email >>>

[FREE GUIDE] Expired/Cancelled Listing? What To Do After Your Home Didn't Sell.
Free guide delivered to your inbox.   In this guide, I show you the exact process used to help 1200+ expired homeowners - ACTUAL CLIENTS - sell for the highest price - at an average of 35 days, or less.   Learn the top 6 reasons a listing will expire, why some houses are selling faster than others - Hint: it's not what you think! Plus receive insider tips, tricks, and bonuses.
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FREE Home Selling Webinar
The Southern California housing market has just shifted. Here is what you need to know before you list your home “for sale” in this spring or summer.  Watch to learn more - and receive a FREE sellers guide along with the latest local housing market report and other bonuses.