54 showings, no offers...

95 Replies

I listed a flip in April 2018 at a price even with the surrounding neighborhood $224k ($80/sf) in my market. I’ve had 54 showings and not a single offer. I’ve dropped the price $5k/month and I’m getting concerned because we’re going into the winter months. All our feedback says it's a "beautiful house but not right for my client." What should I do?

@Aaron Hoak Has there been any constructive feedback from the showings. If the property was priced correctly, it would have sold in less than 30 days, so you need to figure out why you think it was priced to sell, but buyers disagree.

I would definitely be asking the agents follow up questions on what 'not right for my client' means...

Does that mean overpriced?  Not enough bedrooms or baths?  Too small?  The list goes on...

Clearly there's something that's turning off the buyers...

Aaron, pm the address, and I'll take a look.

The market is telling you... the price is right, but the house is wrong. You have to objectively figure out what's wrong with the house.

If your listing agent can't tell you something useful, you need to find a new listing agent who will do their job and tell you what the problem is.

My guess it is overpriced, or FSBO? If FSBO list it with an agent; or lower the price, like you said winter is around the corner, and the market appears to be cooling too.

The house is a 5 bed/3.5 bath plus an office. Entirely remodeled (kitchen/baths/floors). A couple people have mentioned they didn't like the floorpan. 1 feedback said they don't like how it backs up against a major road. 1 feedback said they didn't like the way the garage smelled lol. The majority of feedback has said "Possibly interested" and "priced right". ~4 realtors said our house was a finalist for their client to offer on.

@Aaron Hoak post up the link to your ad? With 54 showings and priced right you should be under contract. You say you have dropped it down $5k/month, which if my math is correct you are now down to $199k? Being under that $200k threshold should spark more buyers.

As @Aaron McGinnis said.....lots of showings and no offers means the price looks right for the property.....until buyers see it.  There is some thing, or things, that turn buyers off Once They Actually See It.  You mentioned floor plan, backing up to a major road (I did that once, never again), etc.  

You have some kind of functional or geographic obsolescence/feature that is turning buyers away.  I’m guessing you can’t cure them.

You have to lower the price enough, aggressively, to get buyers to “live with” whatever the issue are.

Originally posted by @Aaron Hoak :

The house is a 5 bed/3.5 bath plus an office. Entirely remodeled (kitchen/baths/floors). A couple people have mentioned they didn't like the floorpan. 1 feedback said they don't like how it backs up against a major road. 1 feedback said they didn't like the way the garage smelled lol. The majority of feedback has said "Possibly interested" and "priced right". ~4 realtors said our house was a finalist for their client to offer on.

 Your agent should be working to get these people who make it a finalist to make an offer.  Getting an offer out of someone is a very specific skill set, one that seems your agent may not have.

Also backs to major road...in my market...thats going to be a $25-$50k less in value than properties that are not backing to the road. Selling these kinds of properties is always going to be hard.

A $5k price adjustment is nothing.  If your property is at $225k and you drop it to $220k, thats not getting anyones attention. If someone was going to make an offer at $220k, believe me, theyd have made an offer at $225k.  Price drops need to be dramatic to get the consumers attention.

Delisting the property and relisting with a new MLS number, if your MLS allows it will make it look fresh on 3rd party websites. That too is on your agent if he hasnt done that.

Doing a brokers open to get brokers/agents in there to give honest feedback always helps. Also, this goes back on your agent.

While I have no flipping experience, I would suggest considering the psychology of what's happening. People are seeing that you're lowering your price like clockwork every month... how many buyers are on Redfin or Zillow are checking in on you to see how low you'll go and just waiting you out? Could it be an option to stop lowering the price and in the meantime figure out what you can do to make it more attractive in other ways?

@Wayne Brooks and @Aaron Hoak what about planting some tall bushes to help remove the sound from the majority freeway. I would suggest trying to block the view and or sound to help the buyers feel that there is alot of privacy even with the main road. Also Aaron why dont you post some photos here so we can give you some feedback on the property. Maybe we can help you get it sold! 

I'd be interested in seeing your ad as well and may be able to help with somethings

Is this the property? https://www.zillow.com/homedetails/4717-Eastman-Dr-Oklahoma-City-OK-73122/21958642_zpid/

https://www.zillow.com/homedetails/4717-Eastman-Dr...

Yes this is the property on Zillow. 

We've staged the property at the end of August; the pictures haven't been updated.

There is a 10' fence and some trees along the back of the property to block noise/sight of the road. 

@Russell Brazil   Right now, we're at $209k but it's been overdue for another drop, thinking about dropping to 199k but I wanted the Forum's advice for after. I'm sure this will get us more views but I feel like we'll just continue getting ~3-5 showings a week but no offers.

@Aaron Hoak Could you possibly lease it out to an agency? I.E- safe house,or a learning house for special needs? Something like that? I know here,the school system,battered women’s shelters,organizations like that are sometime looking for a small place.Just a thought.I’m certainly no expert.

PRICE CHANGES EVERYTHING.

@Aaron Hoak

Beside others valuable advises I would try to increase the buyer agent comission and add a bonuse instead of dropping the price...surely will get buyer agents more motivated and you will get an offer soon...also could saves you money as compared to dropping the price again giving indication that there is something wrong or being desperate to sell infront of the buyers.

Good Luck

@Baraa Yassin great advice there.  a $5k agent bonus will likely have a much bigger effect than a $5k price drop, and cost you exactly the same.

Unbelievable these prices vs the Bay Area in Northern California. Heck. Even the materials alone would cost way more. I’m sorry you’re experiencing this market turn. Maybe Lease with Option to Purchase could work? Or Airbnb? Long term rental?
Zillow says your overpriced still ( which I know is subjective) also It could be people can plainly see it was bought for only 122k so they don’t feel they are getting a good deal paying over 200k less than a year later

@Aaron Hoak

Maybe instead of doing the price drop this month you add in a note for the other realtors that you are willing to give a $3000 bonus in addition to commissions to the agent that brings a buyer for your house. You can bet that the agents are going to be more motivated to put them in yours over a similarly priced property.

BiggerPockets Podcast 261: 16 Tips for Selling Properties Faster and for More Money with Mindy... https://www.biggerpockets.com/renewsblog/biggerpockets-podcast-261-tips-selling-properties-faster-money-mindy-jensen/

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