Be Careful On Pricing!
If it sounds too good to be true, it probably is..
5 Out of 10 UK homes put on the market will not sell, think about that!
That is not a broken property market.
That is an estate agency industry with a pricing problem.
Only 53% of the UK homes that have arrived on estate agents’ books in the last three years actually sold and resulted in the homeowner moving. The rest were withdrawn, terminated or quietly disappeared after months of stale marketing.
And here is the truth.
Around 90% of the time, the property market was not to blame.
Nor was it interest rates, the Government, buyers disappearing, Rightmove or even the weather.
It was the initially inflated asking price when they lied to you to secure the listing.
Too many estate agents are still telling homeowners what they want to hear, rather than what they need to know.
They arrive at the valuation appointment terrified of losing the instruction, so they inflate the price to win the listing under false pretences and hope the seller becomes more realistic later to then reduce.
That is not a valuation, that is buying the instruction with the homeowner’s time, money and even worse, their future home moving dreams in tatters. Just think of the hundreds of thousands of British lives you are ruining because your ego couldn’t take the loss?
As an agent, think of all the ‘sliding doors moments’ you have messed up because you wanted to hit your KPI Listings target that month?
Your overvaluing means the property then sits online, loses its initial impact, becomes stale and eventually needs a reduction. By that stage, buyers are no longer asking, “Is this a lovely home?”
They are asking, “What is wrong with it?”
The market does not reject good homes. It rejects homes whose price does not match their value.
A great estate agent is not the person who promises the highest figure.
A great estate agent is the one with the courage to tell the truth before the For Sale board goes up.
Because winning the instruction means nothing if the homeowner never moves.
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