Home sellers have two main objectives: to sell quickly and for the highest price. This hasn’t been very difficult to achieve over the last few years, with market conditions favouring of sellers due to high demand, low interest rates, and an ongoing housing supply shortage in many Canadian cities. Despite this perfect storm, some houses are a hard sell. The question is, why?
There could be a number of reasons your property might not be attracting any offers, ranging from broader economic conditions, down to the nitty gritty of the property itself. But one thing’s for certain: long-standing listings eventually get stale, and it can happen fast for serious buyers who are browsing new listings daily, hourly, in real time. Here are some of common reasons your house isn’t selling, and what you can do about it.
5 Reasons Your House Isn’t Selling
The Wrong Listing Price
To you, your home may be priceless. After all, you have an emotional attachment to this place you call “home.” But in reality, a property is only worth what someone is willing to pay for it.
The right listing price is influenced by a combination of factors, including supply and demand, the home’s location and condition, and the seller’s circumstances. Connect with a real estate agent who can give you the hard numbers – that is, the “comparables.” Your real estate agent will pull recent sales of comparable homes in the same neighbourhood. Then, based on the condition of your home and your circumstances (read: how quickly you need to sell it), your agent will recommend a listing price to attract the right buyer.
The wrong listing price can knock prospective buyers out of range. When someone starts shopping for a home, the first step is creating a budget. With this number in mind, the buyer moves on to browse online listings within their price range. Success can come down to a few dollars over or below that specific threshold. This is why it’s important to be realistic when it comes to pricing your home.
While overpricing a home is a concern, so too is underpricing it. Buyers may wrongly assume that a home priced well below market value has something wrong with it, or that the seller is hoping for a bidding war – both turn-offs for homebuyers.
Bad Listing Photos
Believe it or not, bad listing photos can be a reason that your house is not selling. Although many homebuyers will still drive around on a weekend in search of “Open House” signs, most shoppers today take a more targeted approach to their home hunt. They hit the streets armed with a budget, their list of liveable locations, the features their future home should have, and specific addresses of homes for sale that are worth an in-person tour. So, how do you get on that list?
Enter the real estate photographer and this saying: a picture is worth a thousand words. Your real estate agent will arrange for listing photos that will show your home in the best possible light. On the flip side, don’t be a catfish. Nothing is worse than falling in love with the listing photos and taking the time to attend a showing, only to discover that it isn’t as presented. Good and honest listing photos are a critical part of your selling strategy.
Didn’t Stage the Property
While it’s important to showcase your listing in a realistic way, it never hurts to do a little primping before putting up the “For Sale” sign. Some buyers have trouble seeing past what a home is and visualizing what it could be. Staging a home can help highlight its best features, minimize the worst, and give prospective homebuyers some inspiration as to how they can use the space.
Remember that as a home seller, you’re not only selling the property but you’re also selling the idea of “home.” This is why putting an empty house on the market can be a big mistake. An empty house may leave the impression that it is smaller than it actually is, or that it’s uncared for.
Unfavourable Market Conditions
When it comes to selling your home, there are many things within your control. Others are a wild card, as far as the seller is concerned. Factors such as a growing or declining population, economic conditions, interest rates, housing demand and supply, and even the weather can all be reasons why a home is not selling.
What you can control, however, is when you choose to sell your home. An experienced real estate agent can help you time the market. These professionals have the market experience to speak to what is happening in the real estate landscape, and to predict what may happen down the road.
While you can’t control things like the job and housing markets, these are still important factors to consider when deciding if now is a good time to sell. Determine when your house is most appealing to homebuyers. The return of spring tends to rouse homebuyers out of hibernation. Similarly, keep your ear to the ground for other circumstances that may affect home-buying trends, such as an upcoming employment boom or new developments in your area that may increase housing demand.
Sometimes it can be tough to pinpoint the exact reason a home isn’t selling. At other times, it’s painfully clear. Consult your RE/MAX agent for important insight on what you’re doing (or not doing) that may help or hinder the sale.
Didn’t work with a professional agent.
Selling a home can be complicated, even under favourable market conditions. Know that market conditions can change quickly, impacted by everything from local, national and international economies, to population fluctuations and even the weather. Especially in uncertain times, a little professional help can go a long way.
While most homebuyers and sellers will only have a limited number of transactions under their belt, an experienced listing agent has handled hundreds of home sales under a variety of market conditions.
