Real Estate Forums

RBCONDO · 12-26-2006, 11:52 AM

If it won't sell I say drop the price. What are similar homes selling for? Are homes selling in the neighborhood? Freebies and gimicks rarely work dropping the price us usually will. At the right price there is a buyer for anything.

kc1karla · 12-26-2006, 11:48 PM

Quote:

Originally Posted by RBCONDO

If it won't sell I say drop the price. What are similar homes selling for? Are homes selling in the neighborhood? Freebies and gimicks rarely work dropping the price us usually will. At the right price there is a buyer for anything.

Been there, done that.....to the point where I am simply trying to cover the bank note. Forget the interest payments made, utility expenses, marketing, brochures, advertising, warranty coverage, insurance, and general upkeep! I'm just hoping to sell it at my construction costs now. I figure if I sell it at cost I will only have lost about 60K overall, add my profit not realized and I'm down about 115K.

Being a small builder in this market just stinks. Thank goodness most of my work is custom on a cost + 10% basis only. At least then I know I will have some kind of income.

LVH · 12-27-2006, 09:13 PM

Quote:

Originally Posted by kc1karla

Been there, done that.....to the point where I am simply trying to cover the bank note. Forget the interest payments made, utility expenses, marketing, brochures, advertising, warranty coverage, insurance, and general upkeep! I'm just hoping to sell it at my construction costs now. I figure if I sell it at cost I will only have lost about 60K overall, add my profit not realized and I'm down about 115K.

Being a small builder in this market just stinks. Thank goodness most of my work is custom on a cost + 10% basis only. At least then I know I will have some kind of income.

In a slow market you need to do something that makes the home stand out above all others in that price range. I am sorry I didnt read the whole thread so I am a little in the dark here.

Depending on how much equity is in the home will determine how creative you can get. As others have stated make the home bright...people hate dark colors...add a little colorful landscaping ( $300 Can Accomplish this )...since you are a builder add something unique to that home that no other home in that price range will likely have ( If there is a built in bookcase in the house add a secret little compartment behind it, this can be done again for little money )....Another good upgrade which buyers love is some type of Hot Tub on the deck or in the backyard with a gazbo ( again as a builder this should be very inexpensive for you to add...you can add this at a reasonable cost and it will add a flare to the home.

Adding a few upgrades that you dont see in your price range home will add flare and value to buyers that are previewing homes in your price range. Also by adding these features you will be able to specifically market to a certain demographic buyer, which in turn allows you to target your marketing dollars where they are working the best for you.

Hope This Helps, Its outside the box but in todays real estate markets, outside the box works best.

kc1karla · 12-27-2006, 10:56 PM

Well, There's over 5K of color in the landscape, we've got reds, yellows, ornamental grasses, evergreens, white blooms and hot pink blooms.... so there's always some interest in the landscape through the year. However, our hardiness zone and plantings only allows for blooming biannually. (sorry, can't change that)

Although it's been mentioned that the rooms are dark, they may appear that way in photos, but it's simply not true. What appears as darkness in the family room is actually shadows because there is sooooo much light entering the home due to the westward elevation. And in the kitchen photo, we had to remove all the bulbs in the lighting and replace them with 20 watts because glare on the camera lens made it impossible to capture any detail in the photos. Additionally, the curved glass block walk-in shower (again on the west side of the home) allows a tremendous amount of natural light to enter the master bath. Granted, if the formal dining room (which is a very dark rich red) is the deal breaker..... why is it none of our fence sitters have asked us to change the color?

Finally, we've upgraded tremendously. This includes: Rustic porcelian tile on the covered front entry, importing custom doors from AZ, installing heavy wrought iron lighting and oil rubbed bronze fixtures throughout, installing a spa inspired master bath with an oversized (80 gal) jacuzzi with a self contained heating unit and ambient lighting. The home has custom rustic glazed cabinetry, a walk-in pantry and seperate dry goods pantry, built-in buffet, built-in bookcases/ent center, dramatic ceiling vaults, upgraded GE profile appliance pkg, solid surface kitchen, pre-plumbed central vac, glass block walk-in shower, slate mosaic accent tile, pre-wired security/internet/whole house audio, 36" high vanities throughout, large covered veranda, professionally landscaped, walk-in closets, oversized laundry, thermal casement windows, rustic hardwood floors, optima insulation/sound proofing, oversized garage door for high profile vehicles, and hi efficiency mechanical systems (HVAC, water heaters, etc.).

We've held open houses with door prizes, free food, and had a local celebs come out to sign autographs. We've marketed it to the tune of 6K in advertising, sent out bulk mailings, hosted wine tastings, mowed it and mopped it....

and the most often heard phrase is: "Oh my god, I love it! But with so much property on the market, we'd really like to look around for awhile." or "well, I have to get my home sold first...."

Consequently, I don't think I'm willing to put any more money into this venture. The first 390K takes it and I'm done!

LVH · 12-28-2006, 01:24 PM

Very Nice looking home....for 390k that home seems to be a steal. The only other suggestion I could make after seeing the picture above is that you need to remove some of that furniture

To much furniture in a room makes the room and house seem smaller ( The table by the doorway..looks like a chess set and those chairs...remove that lamp...... remove that vine tree by the couch.... remove that big plant above the fireplace .....clean off the trinkets from the bookcase... it is very well designed but as I am sure you know buyers like to imagine their STUFF in your home. I dont know if you are familar with Home Staging but these are things I would recommend if I were helping you stage your home.

Also another option you might consider if you havent already, is to carry a portion of the mortgage. Maybe consider doing an AITD ( Wrap Around Mortgage ) This might help produce a few more interested parties. There are a lot of people out there with money but no credit..this will open maybe a few more doors for you with potential buyers.

Agree to carry the note for 2 or 3 years. Then require the buyer to refi the property within that time period. Set what you feel they should come in with a downpayment. Set a fair market price for the home and expand your marketing to these type buyers. Do this I believe you might get more than 390k.

Again this is a Very Attractive Home.