Does Your Boulder Realtor Do The Research?

I’ve seen some interesting habits that some Boulder Realtors have shown when they handle a listing for their sellers which may skew the statistics.

A recent review I did for some buyers revealed that there are still agents selling homes that will intentionally withdraw a listing from the MLS system and then re-enter that same home in the MLS system in order to give the impression that the home hasn’t been on the market very long.

Why would a seller’s agent do this? One school of thought is that the agent did not do the due diligence and research necessary to determine what the market value of the house really was. In the case of the subject property, this is exactly the case. My research revealed that the comparable properties sold (exact same model home in a fairly new neighborhood) were priced much lower than the subject house. Could also be the seller dictating the too-high price, but then… why take an overpriced listing?

It’s an old fashioned tactic that is not as prevalent as it once was, but it became an issue when my buyers were looking at making an offer. I told them that we needed to be sure that we checked the market data several ways to determine how long the home had been on the market and what the history of the price reductions, if any, might reveal.

You may have heard from me before that this kind of research is essential both when getting ready to write an offer, but also equally as important when preparing to market a home for sale, and determining the asking price.

As it turned out, the house in question was in a neighborhood that had an average time on the market before sale, of less than 80 days. On a first look, the house I was researching appeared to have been for sale for only about 45 days. That’s not too bad and then I looked further.

There are several ways to pull up the data on a home for sale and when I dug further, I was able to uncover that the home had actually been on the market for 265 days.

What does this mean for you as a buyer? Well, having this info when structuring an offer may let you know that the seller may be motivated to negotiate, due to the long time on the market.

You wonder what might apply to you as a seller? Consider reviewing the research your agent provides and discussing it together to be sure that you know the real prices of solds in your neighborhood. Remember this: you will always think your home is better, and worth more than the other houses in the neighborhood. Remove the emotion, and get good data, then you’ll do fine when selling.

Don’t overprice and sit on the market six to eight months longer than everyone else. If you do, you’ll likely sell for much lower than if you had priced it right in the beginning.

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