If I may take a very hard stance here: My opinion is based on business reality. The fact that you renovated beautifully, sunk a ton of money into your Victorian, and are receiving mildly interested offers at 15% or more below your asking price is a common problem in today’s real estate market here in Sullivan County, NY.
These facts pertaining to your home for sale are important to be sure. The pricing model, however, needs to be reworked.
Buyers understand current market condition to be in their favor by a wide margin. The psychology is fairly simple: " I am the buyer (a rare breed these days). I have the cash and financing, and if these sellers won't negotiate down to what I consider a bargain, I'll find another seller that really needs to get out."
Sitting at the poker table with your last $20.00 bill means one thing to an experienced player--you're out of the game next hand. If you cannot afford to keep your Victorian due to financial difficulties and telegraph this to anyone, you have a problem. In essence, you too are out of the game and will not get an acceptable offer on your terms.
If I were a potential buyer, I'd preview your house, get your financial situation clarified, (and there are a number of ways to investigate your financial condition.) and low ball my offer and leave it stand. As harsh a reality as this is, deals are being consummated based on buyer awareness that there are a ton of properties out there and the price can be negotiated down, down, down--business is not supposed to be emotional. It's supposed to be factual.
A caveat here: No sellers are anxious to divest at fire sale prices; but, in order to move the property, it is the only option. If you are, however, in a desirable market where inventory is low, you may be in a much better sales position--even considering today's climate.
It is my sense that deals are being made based on the "blood in the water" model. Easy prey gets eaten first. In order to sell YOUR property, you must know how the other side operates and counteract that "play" with your own strategy.
You must always negotiate from strength or you lose out. What power position(s) can you legitimately present to a potential buyer? How can you portray that your Victorian is just the right home, at the right price, and you are willing to consider some creative selling options?
Can you hold paper at an attractive interest rate? Are there comps that justify your asking and final negotiated price target? How is your agent marketing your home? How should it be marketed? Can you delay selling?
There are thousands upon thousands of homeowners who got caught up in the house flipping frenzy and are now experiencing difficulty hanging on. I am not suggesting that you fall into this category, but many do.
And--this is MY perspective at this time in my market place of the Sullivan County Catskills. Your question is one that seller's are always asking and it is a great opportunity to address just a few of them here.
John Kavaller
Licensed NYS Agent & REALTOR®
845-482-3200 Ext. 13: Office
845-492-0261: John’s Cell
john@catskillsales.com
http://www.catskillcountryrealestate.com/
