Price Reductions - Ugh! Every homeowner shudders when the topic is raised. But a stategic price reduction can be one of the best tools in your marketing arsenal.
You know it is time for a price reduction when..
The purpose of a marketing campaign is to get people in the door of your home. A good marketing campaign is broad-based and targets two groups of people – the agent community and the public at large. Both are sources of potential buyers for your home. It takes a some time and a variety of tools for the news of your listing to spread. So when do you lower the price of your listing? Simple. If nobody is walking through your front door.
A strategic price reduction is a powerful move designed to capture the ideal buyer. You broadcast a clear and timely message translated roughly as “I’m really serious here, folks!” Following a price reduction, cyberspace lights up with tweets, emails, posts and custom Hot Sheet Reports – all of which focus attention on your house.
What if you have lots of showings, but no offers? In this case, you are probably the benchmark, top-priced home in your neighborhood. Your slightly-high price is actually helping the other guys sell their homes. As in, "Gee, honey - this house is a real deal, especially compared with that higher-priced home over there." Trust me, this is not the way to sell your home.
So be brave! It seems counter-intuitive to many sellers, but a price reduction can actually help sell your home faster and for a better price. Use it as the strategic tool it really is!