Market conditions are normalizing and some Seller’s expectations of multiple offers above asking price from Buyers lining up at the door haven’t caught up with reality.

When there is a shift like this, from the really hot post-covid market to a more balanced and regular one, there is a tendency to overdramatize and exaggerate.

When average Days On Market go from 4 to 14, the sky is not falling. It’s just a little cloudy. 

It’s important to get the facts first. Before your next listing appointment, research DOM, average list to sale price ratio, average number of showings to generate an offer, etc. so that you can educate your clients about the trends.

Compare the way things were a year ago and six months ago, to where they are today…and where they appear to be headed. 

And then remember these softer-market selling principles because they apply whenever there’s even a slight shift.

1. It’s okay to speculate and dream about the best outcomes possible, but always prepare people for the worst. If the worst happens and you haven’t prepared them for it, you’re the guy who didn’t prepare them. It’s not so you can say, “I told you so.” It’s so they can say to each other, “Well, Charlie did say this could happen.”
2. Every step of the way in a transaction resist the temptation to celebrate and high-five. Remember instead to KYFC. “Okay folks, we passed the first hurdle, but it’s too soon to get excited. Anything could happen. Keep your fingers crossed.”
3. Underpromise and overdeliver. There’s a lot of things you don’t have to promise to be competitive and still get the listing sold. If anything, overcommunicate. You don’t have to promise a Weekly Report, but it’s a pleasant surprise, especially when there’s been no progress or you have nothing to report.
4. Your marketing works. Stay the course. But always remind your client that the only thing we are testing is the price, since we know our marketing works. We will put all our marketing tools to work, and then listen to what the market is telling us – how many views, how many click-throughs, how many inquiries, how many showings, what kind of feedback, how many open house visits, etc. All of these will tell us something about the price.

When markets change, you want to be the coolest head in the room.

Let the data inform your perspective so that you can confidently be the trusted advisor your clients need.