What Happens When A Listing Agent Tells A Seller What He Think He Wants To Hear Instead of Needs to Hear
Earlier this year, I got a call from a frustrated seller. He had just decided to fire his listing agent and had been referred to me.
â€śI donâ€™t want to make the same mistake I made when I hired my first agent,â€ť he said. â€śSo, would you be willing to meet with me to see my condo, tell me what you think itâ€™s worth and let me know how you would market it?â€ť
Overpriced + Pre-sale Purchase 7 years ago = â€śUh Ohâ€ť…
I agreed to meet him the following day because of the seasonal marketâ€™s time sensitivity and my desire to get the property on the market asap, if selected to work with him. I warned him that I wouldnâ€™t have time to do a lot of research before our meeting. I pulled the listing history and tax records, and I didnâ€™t like the math…nor the methods.
Perhaps the previous agent was â€śnostalgicâ€ť or simply â€ślost track of timeâ€ť, but he decided to price the unit at itâ€™s original (pre-sale) purchaser price, which went back to early 2006. Needless to say, by the time I came into the picture, it had been on the market for a whileâ€¦you know the drill.
When Ineptitude Flirts With Negligence:
As was clear in the listing history (but I had hoped was a mistake), the listing â€śagentâ€ť initially â€śmarketedâ€ť (terms used here extremely loosely) his property for almost $100k more than the owner had paid for it at the height of the market!! No upgrades, nor additions after the original purchase….I still canâ€™t even begin to fathom where that number came from .
The sad truth was obvious. The seller lived in a penthouse unit in an area of the close-in DC suburbs where many condos were in short sale or foreclosure situations. And this development was no different.