Time to fire my listing agent?

Question

We’re selling a 3-family building in the Bronx. We listed with an agent we trust and who has sold many properties, but the property has been on the market for 66 days now, and we haven’t had any recent showings. A few weeks ago we decreased the list prince by 5%.

Our agent is communicating to us that the market is simply slow right now, and that we need to be patient. But we are getting anxious about the lack of interest.

Nothing our agent has done has seemed “wrong” to us, but of course, almost all of his communication with potential buyers and buyers’ agents happens behind the scenes.

We are considering looking for a new agent simply because the property hasn’t sold and this seems to be the only action that’s in our control.

What do you guys think?

Russell Brazil · Answer

That actually just sounds like your agent is hustling and trying to find buyers himself, as opposed to only relying on buyer agents to show the property.  That's a good thing in my opinion.

Michael Diossa · Answer

Market is slowing down but a few things to keep in mind. Are the tenants neat? have properties in that same area sold fast recently? if so what is the average price?

Maybe when it is fully vacant and cleaned it could be sold faster.

I personally would not fire if the communication is good. However i would set up a call to see what should be the approach . Maybe reaching out, posting it on social media, price adjustment etc

Mohammed Rahman · Answer

Hey @Joseph Johnston - I'm a broker and investor in NYC, and I've done deals in Bronx.

Multifam in the boroughs are moving slower than usual, especially if it's not completely turnkey and/or has any tax incentives on it.

The folks currently purchasing 2-4 unit multifams are owner-occupying buyers/investors and they are being more cautious with their purchases due to the overall market rate conditions.

It's not unheard of for listings to stay on the market for 120+ days in this market. Add to that any tenant/buyer scheduling woes that would deter buyers from viewing the property at their convenience instead of having to accommodate tenant schedules (even if you're delivering it vacant, which is a big plus). Happy to share more thoughts if you're up for it, shoot me a DM or text. Thanks.

Joseph Johnston · Answer

I appreciate this feedback. Thanks!

Alan Asriants · Answer

Based on what you told me, I don't think that there is a need to be worried when it comes to your agent. We have a property that is listed for rent that would've rented within days or weeks but now it's just sitting on the market because of the market itself.

It would be a completely different story if the marketing done for your property is poorly done. Are there professional pictures taken? How is the description? What does the Listing look like?

What about the property? How does it show compared to comparable ones on the market? The hard part when selling a property with Tenant is that some tenants are not the cleanest tidiest or careful. All of these factors can lead to why the property can sit on the market.

At the end of the day, the market is driven by condition, location and price. Reanalyze your listing and compare it to the other ones and give yourself some honest feedback. If it has to do with your property and not the marketing of it, then it is what it is, and having another agent might not fix the problem. If the listing looks very poor in comparison to what's on the market, then I would have a conversation with your agent.

Andrew Jennings Freerks · Answer

@Joseph does the listing have professional photos? Can you share the listing so I can check it out? FYI August is a slow time for the NYC market. Tenants do make it harder to show, so what I do is take a video of the occupied units and show those to potential buyers if the tenants cannot give access. As a 3 unit, it would be smart to also break down the income and expenses on the listing as most likely the buyer will be an investor. Just my two cents.

James Mc Ree · Answer

I wouldn't fire the agent just because the property hasn't sold yet. That's not necessarily the agent's fault. If you do, you need to find a new one and relist with new pictures, so you may push yourself off the market a week or two.

Ask your agent what feedback he is getting on the showings. The agent should be following-up on showings to learn what the prospects think. Your property probably doesn't look as nice as it could with the tenants there. That is may be one of the turnoffs which may come across as the price is too high.

Get the tenants out in two weeks, spiff it up, clean and you will probably have more interest.

Joseph Johnston · Answer

It’s tenant-occupied, but we’ve communicated to the agent that we would deliver it vacant. Tenants will be leaving at the end of the month.

Time to fire my listing agent?

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