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Reduce

Question: How to reduce the price of home already on market? I'm considering reducing the price of my home that has been on the market for 3 weeks with more or less no response from the market (not one prospect has asked to see the house, other than at open houses). My agent blames the Labor Day weekend and back-to-school preparations as having keeping away prospects. Anyway, I'm not so sure, and want to ask for your opinion on how I should reduce the selling price. Should I announce, "Price Reduced!," on MLS and place a little sign above the for sale sign in my frontyard as many sellers do? I am concerned that this approach may give the impression that (if I'm reducing the price of the house after only 3 weeks) there is something wrong with my house, or that I am desperate and may even reduce the price further, and keep prospects away.

Answer: It can be a selling point if you announce the price has been reduced, it can also turn people off and make them wonder why you reduced it, (they may wonder if something is wrong with the home, etc.) It is rather soon for you to do this, I sold my previous home as a for sale by owner and was on the market for over a month and a half, so I had to hire an agent and it still took approximately 2 months to sell or get an offer, the agent thought we were too high, so I reduced it at that time by 20K and got an offer, and the home was located in a suburb in Los Angeles, in an excellent location with no inventory of homes, The question is, are you desperate to sell it, if that's the case then go ahead and reduce the price, and you never know, it's a 50/50 chance, while some prospect buyers may be turned away, some other new ones may be excited and put an offer, your agent is partially correct, summer is usually the busiest times for home sales, after that things begin to slow down, as people are doing other things and most have made their decisions and purchases. It's a fact. Good luck!


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