Ken Haedrich

So, Your Home WAS Listed, It Just Sat There Gathering Dust, and Then the Holidays Rolled Around

So you withdrew it from the market. Too much hassle...not enough action. Now what?

First, let's look at the reasons it probably didn't sell.

1. Condition - Your home has issues that turned buyers off - you know, peeling Formica, paint colors from the '50's, dings in the walls.

2. Marketing - Your home wasn't presented well enough or widely enough to the marketplace.

3. Price - The market didn't like your asking price. Maybe agents/their buyers didn't come right out and say so. But they said so when they bought something else - a better value - somewhere else.

4. This Really Screwed Up Economy We're All In Right Now.

Well, the good news is - other than the economy - you can fix all these things. The bad news is, you may not be willing to. You may not even want to. Which leads us to:

5. You're just not that into it - selling your home, that is.

#5 Explained: A Little Story About One Annapolis Home That Never Did Sell

It was a nice condo, wonderful location, pretty well priced. But when the condo didn't sell - and the owners kept resisting our advice for remedying certain problems that needed attention - we knew something was up.

A few months down the road we learned that the sellers didn't really want to leave the Annapolis area. They just hadn't figured that out yet. Only when confronted squarely with the prospect of pulling up their roots did they realize that Annapolis - and not Florida - was where their hearts were.

We Learned a Valuable Lesson in the Process: Ask Home Sellers Probing Questions

By doing so, we sometimes uncover misgivings that could prove to be obstacles to a sale - misgivings that the owners may not have fully considered.

We've also learned this: when a seller resists our measured advice about getting their home sold, ambivalence about a move is often just below the surface. And ambivalence isn't selling in this market.

Solution: Have a candid conversation with yourself - and your significant other, if there is one - and ask yourself: do I really want to move? Be brutally honest.

Now, About Those Other Issues

#1 - In this marketplace, condition - how your home looks to buyers - is crucial.

Know this: everyone wants a model home today. And with new construction competing head-to-head with the resale market on price, your potential buyers have likely seen their share of them. They're spoiled, and you should spoil them, too. If you don't, somebody else will.

Solution: Fix everything that needs fixing, from loose hardware to worn carpets. Paint! Use hip, neutral, soothing colors. Hire a stager to help you improve room flow. Move stuff out: buyers are buying square footage, so show it to them.

And landscape! 82% of agents report that their buyers won't hesitate to cancel a showing if they don't like your curb appeal.

#2 - When it comes to marketing, not all agents are created equal. Some have embraced the power of the Internet wholeheartedly, many have not.

Before you re-list, find out precisely what your agent will do to market your home, and why.

Ask about photography, and for samples - online and paper - of how those photos look. Good quality photography, like this, is fundamental to real estate marketing. (Note: most agents, myself included, aren't super photographers. That's why we - The Moss Haedrich Team - almost always use professional real estate photographers.)

Solution: Make sure your agent is using the latest technology and tools to get your home sold. One neat tool we use is a lead capture system to talk with warm buyers who call in to hear recordings about our listings. (To hear how this works, call 1-866-237-3371 code 2078.)

#3 - We could advertise your home on the front page of The Washington Post seven days a week, and if the price isn't right we still won't find a buyer.

Here's a thought: at any given time, only about 20% of the homes on the market are really in the market. The rest are being virtually ignored by savvy, value-conscious home shoppers - and their agents - who are pinpointing the homes that are truly competitive.

Consider this: the market is only going to pay what it is going to pay. Until you get to that price, the market will not produce a sale.

A man walks into a bank and stacks 36 quarters neatly on the counter, and says to the teller: I'd like a $10 bill for those quarters.

The patient teller responds: Sorry, sir, those quarters are only worth $9.

Fellow: Yes, but I really want $10. I really need ten bucks.

The fellow keeps this up until the cops arrive and escort him to the station.

We Don't Haul Sellers Off to the Station When They Wait Around For the Market to Offer a Price It Never Will...

...but disregarding the market's unequivocal rejection of a home that's overpriced only draws out the inevitable and causes pain for sellers.

Solution: Get real about price before you re-list. If you can't, either rent your home or hold off on selling for a few years.

#4 - Oh Yeah - About the Economy

It is indeed screwed up right now. Some people have lost jobs, many of us have seen our investments lose considerable value.

Lending requirements have tightened and the pool of potential buyers has indeed gotten smaller. I don't think anyone knows for sure what lies ahead for our economy in the months and years to come. A fast turnaround is unlikely.

In spite of it all, life does go on. People continue to move in and out of the Annapolis area, and homes ARE selling.

Take heart in the fact that you can still sell a home, even in this challenging market, if that's what you truly want. If will take sacrifice and work, but it can happen.

(Shameless plug: If you - or anyone you know - are considering what to do next with a home that's been withdrawn from the market, give me a call at 410-507-7222 and let's talk. We'll sit down, look at the particulars, and give you our best, no-pressure assessment of your situation. Or just email me at kenhaedrich@gmail.com) and tell me your story. Look forward to hearing from you.)

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This entry was posted on Saturday, January 24th, 2009 at 12:19 pm and is filed under Sellers. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.

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The Story Showcases a $1.2 Million Crownsville Waterfront Home We Found a Buyer For in 18 Days

The Annapolis area is fortunate to have a great magazine - What's Up? Annapolis - to keep residents apprised of nearly everything that's going on around here.

And we're fortunate to be featured in the December issue's "Real Time Real Estate" editorial section, highlighting a lovely property we sold in Crownsville a few months ago.

You can read about it in the magazine - or simply click here to see the online version.

I think the key takeaway from the story - at least for sellers - is this quote from my wife/partner, Bev Moss Haedrich: "Instead of chasing the market down with price reduction after price reduction, we strategically positioned this home out front at a fair and reasonable price," thus avoiding a protracted time on market. (Keeping true to what we always tell our sellers right up front: we want our relationship with you to be short and sweet.)

The other takeaway is this: if you're selling a home and you'd like to know how we can get the job done, call me at 410-507-7222. And if you're purchasing a home in the area, and want to take full advantage of this unprecedented buyer's market, we'd love to show you how. Just call Bev at 410-353-2469.

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Talk to Annapolis area homebuyers these days and you'll often hear this: I don't want just a deal. I want a steal! Realtors expect this sort of brash talk from seasoned investors, but more and more we're hearing it from young couples, first time homebuyers, grandmothers and other nice people who often trip over the words, like they're reciting a script that's at odds with their deeper desires.

This inner conflict is understandable: after all, isn't the nightly news a regular smorgasbord of home sale nightmare stories? Aren't there steals now in every town in America?

Maybe - but that's not the point. Shopping only for steals - and overlooking the otherwise good deals - tends to create inner conflict, distort priorties and become a single-minded exercise in the absurd. I know agents who have shown 40, 50 or more homes to steal shoppers who simply can't pull the trigger on a home purchase because there might be a better deal hiding around the next bend. Buyers are now getting buyers' remorse just thinking about buying. It's driving both the buyers and their agents bonkers.

Better Judgement is Often The First Casualty of Steal Home Shopping

It reminds me of a young man I knew who used to be too frugal for his own good. He bought only the lowest priced shirts off the clearance rack - not because they were stylish, comfortable, fit well or otherwise served his needs, but because they were cheap. Consequently he ended up with a closet full of shirts that were so hideous they embarrased even my young children when I wore one to the dinner table, let alone in public. (The last of them went to Goodwill about 20 years ago - the shirts, not my kids.)

Homebuyers Risk Much When They Leave Better Judgement at the Front Door. A Home Should Be Many Things, and Well-Priced is Just One of Them

A home should be comfortable, pleasing to the eye, and well lit. It should have reliable mechanical systems, be convenient to work and play, if possible, and in an area where the new owner can easily imagine the next chapter of her life. It should have trees and bushes you love, enough lawn for that puppy you've wanted, a place to work on your ATVs and other toys, a picket fence or winding flagstone path, a great elevator, coffee shops within striking distance. In short, it should be what you want it to be.

Know what you want in a home and go find it. A good agent will make sure you get a great deal. Be willing to make some tradeoffs; most homebuyers will. But don't sell your homebuyer's soul for the sake of a steal: those few bucks you save on your monthly mortgage will be little recompense for your unrealized home dreams.

Trust me: if you're looking for a great deal in the Annapolis real estate market, we have plenty. Just email me at kenhaedrich@kw.com and tell me what you're looking for. I'll send you a list of everything that meets your needs, and we'll go from there.

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Anne Arundel County Saw 388 Homes Sold Last Month. That's Down 14% From Last September. But The Sky Isn't Really Falling Around Us...

I've been talking to a lot of you lately. Our entire team has. Each and every day, The Moss Haedrich Team calls 20, 30, 40 or more of you to see how you're feeling about the real estate market, calm your jittery nerves, and ask how we can help. Here's what we're hearing from you...

...nobody is buying anything....nobody can get a mortgage now...homes aren't selling...sellers are giving homes away...homes are taking forever to sell...and, in short, the sky is falling and we're all doomed.

Well, we understand the sentiments. The uncertain economy does have everyone on edge and listening to the evening news only amplifies our concerns. But if you look at the statistics you'll see that the current market - while sluggish - is anything but dead. It's not all gloom and doom.

Those 388 homes that sold in Anne Arundel County last month? True, that's less than last September's figure of 453 - but it's far from nothing. On average, those sold homes took 22 days longer to sell than they did last September - but 3 weeks is not the eternity you might suspect if you draw your conclusions from the national media reporting.

October sales for Anne Arundel County are looking okay: in the first 21 days of the month, 211 homes have sold.

Who's Buying Those Homes?

Note that 130 of those 211 homes sold for $350,000 or less. There's no way to prove this, but those numbers suggest that first time homebuyers and investors are busy shopping, as they should be: the smart money is out there right now finding great deals, bargaining, and doing very well, thank you. They know those great deals won't be around forever.

Which brings us to the subject of mortgages. Every lender we talk to says the same thing: despite what you're hearing, there are plenty of loan programs available for anyone with respectable credit. Expect to put some money down. Expect you'll be required to provide documentation for income and assets - the freewheelin' days of "no documentation loans" are a thing of the past.

Just don't expect the sky to fall anytime soon on the Annapolis real estate market.

If you're wondering if this is a good time to buy, or sell, just email me at kenhaedrich@kw.com and tell me about your circumstances. I'll call, or email back, and help you sort out your situation. Please: there's no reason to step into this market on your own when you can have the benefit of an experienced real estate team on your side.

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This entry was posted on Wednesday, October 22nd, 2008 at 8:34 am and is filed under Buyers, Neighborhood Sales & Stats, Sellers. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.

Buyers Are Still Willing to Pay More, and Faster, for Something They Perceive to be Special. A Story...

This past summer we listed a home that was very nice indeed. Price: $1,200,000. It went under contract in 19 days, and sold a few weeks later for a price that the owners found quite acceptable.

Aside from our usual aggressive marketing, how can we account for such a good offer and fast sale? After all, the home did have a few quirks...some dated features...and wallpaper I wasn't crazy about.

But sell it did, and here's why: the home's uniqueness - its overriding special features. In addition to a very private and nicely landscaped yard, the property had its own tennis court, large in-ground pool, and deep water dock just 5 minutes by boat to the Severn River.

There were other highlights, but the point is this: because the home was a unique package, it could compete in the market on its unique features - features that the buyers knew, or rightly assumed, they'd have difficulty finding in another property. Whether you're selling real estate, art, or antique cast iron mechanical banks, uniqueness motivates buyers to act more quickly for fear of potential loss.

Contrast That With a Home Located in an Annapolis Subdivision...

...say 50 or 100 homes, perhaps 4 or 5 models to choose from, your usual upgrades. Ten or 12 percent of the subdivision is for sale. How will those homes compete with one another? On price. Absent starkly contrasting features or amenities, similar homes - in a market like the one we're in - will almost always compete on price. Fear of potential loss diminishes when buyers perceive that supply is more predictable.

Buyers for such homes are being very patient in this market, watching competing homes leapfrog one another into the best price position before snapping them up. (Word of caution to buyers: if you do fall in love, don't wait to make your play. There's a good chance someone else has fallen in love with it too.)

And if you're a subdivision seller? Your best hedge is to do everything you can to make your property stand out as unique among equals: be the cleanest, most freshly painted, best landscaped, least cluttered, and most inviting. And If you want to hear how we make all of our listings stand out as unique, email me at kenhaedrich@hotmail.com and I'll email back.

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This entry was posted on Wednesday, October 8th, 2008 at 4:06 pm and is filed under Buyers, One Minute Realtor, Sellers. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.