Let’s say you have listings. The market has been great (at times) this year. Multiple offers. Highest and best auctions. Selling above asking price. Hours instead of days on market. And yet, all of a sudden, no showings.
Even though you have prepared your Sellers with average days on market data, and regular market activity updates, and showing feedback, and your best expectations management dialogue – there they sit with no showings and they are getting antsy.
Let’s also say you’ve been ‘Wickmanized’, and you remember Floyd telling you that there’s nothing wrong with any listing that the right price won’t cure. And so you prepare a price reduction presentation. But your heart and your head aren’t in it, because it is priced right. It's in a great location. It’s easy to show. It’s in move-in condition. If anything should be selling, it’s this listing.
What’s going to kick-start some co-broke showing activity? A price reduction? Maybe.
But you know the Sellers will resist anything more than a 1% or 2% price reduction, and you’re just not looking forward to that battle.
Here is an alternative too often overlooked.
Get face-to-face (if you can). Let’s say the best they will do, or can do, is a 2% reduction. Use our own Allyn Rawling’s Nordstrom Shoe Sale analogy. “No one rushes to the store when they see SHOES 2% OFF! All this week at Nordstrom’s! Do they?”
Now refer back to the estimate of net you did when you got the listing. “My job is to market your home to the public, but more importantly to the Realtor community. Let’s get the people who are most likely to bring us a buyer really excited and energized. If the best you could do was 1% (of the estimated net) less, would you take it?”
Reduce the estimate by 1% of the list price and suggest a commission bump instead of a price change and give the entire bump to the co-broke agent. You will be amazed how big a buzz you can create with a 4% or 4½% co-broke split.
You know those agents who get the reputation of always putting overpriced listings on the market. Staged poorly. Difficult to show. Uncooperative Sellers. It is a reputation that is hard to shake
Do the opposite. Become the listing agent that co-broke agents love to cooperate with. That is a reputation that takes time to build, but one that pays off in shorter days on market, more showings and happier Sellers.