Daily Real Estate News  |  November 14, 2007  |   Know When to Walk Away From Unrealistic Sellers
Real estate practitioners need to be realistic with sellers about current market conditions and be prepared to walk away from potential listings if sellers don’t want to price for sale, agree speakers at Success in the New Normal, part of CRS® Day at the NAR Conference.

“I used to be afraid to let a listing go. But in today’s market, if it isn’t priced right, it isn’t going to sell,” says Bob Wolff, CRS®, GRI, with RE/MAX Real Estate Services in Monarch Beach, Calif. He points to press coverage of the challenging housing situation in his Southern California market when discussing pricing with potential sellers.

Allan Domb, CRS®, CIPS, with Allan Domb Real Estate in Philadelphia agrees such coverage can be useful for any seller out there who doesn’t think the market’s changing. “The press coverage is a great wake-up call,” he says.

Communicate the Market Data

Speakers also suggested acquainting sellers with local market sales absorption rates and financial analyses that show the cost of an improperly priced home, which can languish on the market for several months.

“Some people are still two years ago,” when thinking about what price they can get for their house, says John Riggins, CRS®, CRB, John Riggins Real Estate in Honolulu.

Grow Your Investor Business

On the buying side, experts said you should expand the pool of investors you work with, noting this is a good time for those interested in investing in residential real estate. Domb says he tells associates that any past buyer could potentially be a future investor.

Even those buying homes to live in themselves should be reminded that “there has never been a better time to buy than right now,” says Riggins.

The six panelists agree that market conditions, and their jobs, have changed dramatically. “From 1995 to 2005, we were order takers. Now, we have to be real sales people,” says Domb. But all say they maintain a positive attitude. “We’re needed now, which really helps make me positive,” says Riggins. Agrees Domb: “this is our time, our time to be professionals. We can do this job.”

— REALTOR® Magazine Online