How to Screw your Sellers: Part 1
I just received an email from a couple of agents selling a home in West Seattle with the following in the subject line “Dropping Price by $5,000 every Friday until SOLD!”.
My first thought, “Great! I’ll see you in 12 Fridays!”
I can’t imagine a better way to give your Seller’s money away than this brilliant piece of marketing. Essentially, what the agents are saying is “We know it’s over-priced but it’s your job to guess how far off we are”. What kind of leverage or negotiation footing do you have when you’re basically saying “You’d better hurry up and make your offer or we’ll be forced to drop the price next Friday!”
The only way I can see this working out for them is if buyers low-ball them right off the bat and a bidding war ensues. If that happens, they’ll have accomplished something.
I am willing to be wrong but I anticipate that this will cost both time and money to the Seller. Time is valuable because after about 5 or 6 weeks of market time Buyers can smell blood in the water. Often times this means Sellers receive even lower low-ball offers. So time also equals money.
I don’t know these agents personally and they may be fine brokers otherwise but I’ll be curious to see how this limbo marketing strategy works out for them. After all, how low can you go?