Avoiding The Top Seller Traps

 


Avoid the Top Seller Traps & Myths


Myth: You need to pay 6% to get a full service listing

Reality: It is not your parents real estate market. Buyers have incredible access to information as the real estate market, like other markets, have adjusted pricing to account for market efficiencies. The Casey Samson Team charges 4.5% to sellers. 2% the the listing agent (CST) and 2.5% to the selling agents. Based on the fact our listings sell 3 times after than the average listing, the system works.


Myth: The Realtor promising the highest price is the best choice.

Reality: Hungry agents quote sellers higher prices to get the listing. Over pricing homes can cost sellers 9% of their homes value. Listing agents should be hired based on current track record.

See: Ken Harney Article on Hungry Agents

Also See: The First 30 Days


Myth: Appraisals or Zestimates are accurate estimates of value.

Reality: Appraisers prove values for Banks and do not sell homes. While Zillow is an effective search tool, Zestimates are inaccurate and misleading. Zillow has had multiple lawsuits files against the system. Their defense is free speech, not accuracy.


Realtor claim: If I can not Sell your home, I will Buy your home!

Reality: The price they will pay is 20%-25% less than fair value if marketed correctly. The most active agent promising to buy your home, had 75 withdrawn listings she did not buy in 2016.


Realtor claim: I have 8000 buyers!!!!

Reality: The MLS and Internet have thousands of buyers.

The Casey Samson Team SOLD 21.5% of our own listings.

The Team with 8000 buyers, sold 6.5% of theirs.


Realtor claim: We have INTERNATIONAL MLS!!!!

Realty: The internet is international. All buyers, regardless of location, have access to Zillow, Trulia and Realtor.com. Agents in China are not looking at homes in Oakton, Virginia. Clients see homes on the internet and work with local agents. International MLS is a MAJOR FALSE HOPE.


Myth: Agents promoting 2 billion in their real estate career.

Reality: As my father said, you are only as good as your next at bat. Some older agents rely on advertising from the 1980s. Newspapers and Magazines do not sell homes, they sell agents. Buyers are on the internet and effective presentation and exposure on social media is the most effective way to target buyers. 


Results Count!!! 

The Casey Samson Team Sold:

  • 65 Homes in less than a week
  • 85 Homes in less than 30 days
  • Average Days on Market is 17 Days

BUSTING OTHER MYTHS

Myth: You have to pay 3% to selling agents.

REALITY: 2.5% is the new 3%. 

Half the homes in Northern Virginia (including the majority of top producers) offer 2.5% to selling agents. Buyers select the homes they want and agents facilitate the sale. 

We offer agents 2.5% and our homes sell in an average of 16 days. The average Days on Market for the Mid Atlantic Region is 53.


Myth: All homes eventually sell.

Reality: 40% of listings in Northern Virginia withdraw or expire unsold.

success-rate-by-city


Myth: You can save money selling your home yourself.

Reality: Even Realtors use Realtors. The MLS and Realtors give homes maximum exposure and advice generating the highest net to the seller with the least risk.

Fact: In 2016, Realtors have referred over $30M of their listings to The Casey Samson Team because they trusted us to get the job done!


Myth: It takes a while to sell a home

Reality: Homes NEED to sell in the first 30 days.
If they don’t sellers could lose tens of thousands of dollars or the home has a good chance of NOT selling. Visit for more info: The First 30 Days.

65 of our homes sold in the first weekend

85 of our homes sold in the first 30 days 


Myth: Companies sell homes.

Reality: Professional agents sell homes.


Myth: The best agent has the highest sales volume

Reality: The best agent is a top producer that has the highest success rate. Success rate is determined by: What % of their listings are under contract. 75% is Great, 25% or less is a listing hoarder. Another measurement of success is how many homes sell vs withdraw or expire unsold. 


Myth: Newspaper and magazine advertising sells homes

Reality: Buyers are in their 30s and 40s and find their information online. Marketing on Facebook, Instagram, Twitter, Youtube and Pinterest targets today’s buyers with the shot gun effect. Hashtags of schools and amenities target buyers with pin point accuracy.


Myth: Agents that tell the sellers what they want to hear are best.

Reality: Pricing or marketing your home wrong can cost sellers tens of thousands of dollars. We tell the sellers what they need to hear and price homes for what they are worth.


Myth: The higher you price your home, the more you make.

Reality: Homes priced correctly generate multiple buyers, higher prices and more seller control. The longer a home sits on the market the lower value you get.

big-risk-revised-page-one


Myth: Basements are included in a home’s square footage.

Reality: Only the upper two levels are included and it is assumed the basement is finished in a customary standard. The upper two levels cost is approximately $200 per sq foot. The basement only costs about $35 PSF to finish. It is apples and oranges and you need to compare apples to apples.


Myth: The Real Estate Market is Up or Down.

Reality: In Northern Virginia there are over 100 sub markets based on location, price range, and property type. Each market goes through it’s own ups and downs. 


Myth: Strong sales mean prices are going up.

Reality #1: Higher inventory could cause more sales, but softer prices.

Reality #2: Today’s reported sales are on homes that settled 30 days ago and went under contract 60-90 days ago. Sales stats tell you how the market was 60-90 days ago. Sellers need to know what the market is doing NOW.


Myth: If my home is not selling, it’s the marketing.

Reality: If the home isn’t selling, it’s the price.


Myth: Your home should sell for the same as your neighbor.

Reality: All homes are unique. Prices are based on property type, size, condition, upgrades, location and lot.


 Myths: The value is based on what a seller needs.

Reality: Real estate is a comparable product. Buyers will compare space, features, function, upgrades, condition, location, etc. and decide on what they will pay. Sellers decide to sell or not sell.


 Myth: You get your money back for upgrades.

Reality: Upgrades are either Inferior to the competition, Customary or  Extraordinary. 


Myth: You get your money back for additions.

Reality: Additions are long term investments. They may overvalue the property for the neighborhood. People that buy $700,000 homes, want to live in $800,000 neighborhoods, not $500k-$600k neighborhoods. Additions should be done by homeowners who will be in the home for a long period of time, where additions satisfy their needs.


 Myth: Real Estate is a good investment.

Reality: Buying real estate is for people who want to own their own home and configure it to their needs. Real estate is a “long term” investment and a hedge against inflation. Only full time professionals should buy, fix and flip.


Myth: Paying 6% commission gets full service.

Realty: This is not your parents business model. Technology and the internet have leveled the playing field and brought the buyers directly to the listing agents allowing them to charge less. The Casey Samson Team charges 4.5% for Full Service Listings and has one of the highest success rates in the area.


Myth: Offering selling agents 2.5% to selling agents will discourage selling agents.

Reality: Buyers find the homes online and tell the agents what they want to see and buy. Selling agents have very little power over what their buyers. In NO VA, Homes offering 2.5% sell faster than homes offering 3%. We use the extra 1/2 point  to market properties online direct to buyers and it works like a charm.


 Myth: Neighborhood agents are the best.

Reality: Agent production and success rate is more valuable that agent location. Today’s market is VERY high tech. An agent that does 3-6 deals per year may not offer the social media tools and pricing experience as professional listing agents. 


Myth: Open houses don’t work.

Reality: Open Houses ABSOLUTELY work!!!! 30%-40% of our homes sell to buyers who saw the property at an open house. Listing agents and their reps can present the home in the best light and point out the most valuable assets of the home. Between Thanksgiving and Christmas of 2016, we had 8 open houses and Sold 5 of the homes from the open house. 4 of the homes generated multiple contracts and sales prices in excess of list price.


Myth: Newspaper advertising works.

Reality: Newspaper ads sell agents, not homes


Myth: If you price the home too low, you will leave money on the table.

Reality: Well priced homes attract multiple buyers, who bid the price over market value, and produce back up contracts. Backup contracts give seller leverage during inspection negotiations.


Myth: Larger homes need international agents and pay additional fees.

Reality: The Internet is international. We have sold homes to buyers who first see our homes oversees.


Myth: Buyers are trying to steal your home.

Reality: Not an unusual emotional reaction. Buyers do not want to over pay, just like sellers do not want to get less then the home is worth.


Myth: Selling a home “as is” saves sellers money.

Reality: “As is” is a red flag and dramatically reduces the value of a home.


 Myth: Pictures of the home can be done on smart phones or tablets.

Reality: Other than pricing, great pictures are extremely valuable. Fusion photography is a must for homes over $750,000


Myth: Buyers have vision.

Reality: 9 out of 10 buyers have no vision. Current paint colors, decluttering and upgrades pay.


Myth: Great sales people sell homes.

Reality: Pricing attracts contracts. Professional agents manage the contracts to get the most out of the transaction for their sellers.

©Copyright Casey Samson 2016