• Do The Cumulative Days on the Market Affect Your Selling Price? Absolutely. Read On To Find Out How And Why This Real Estate Term Is Crucial

    Picture1-e1400799000816Just about the very first question a buyer is going to ask their agent when they become interested in your home is how long it how long it has been on the market.  You may have asked your agent the same question when you purchased your home.

    The reason your potential buyer wants to know how long the home has been on the market is they are determining how they will negotiate with you.  If a home has only been on the market a few days or a couple of weeks, the buyer will assume there won’t be much room for negotiation and if they truly want the house and will be much more inclined to make a higher offer. See: How Does the Amount of Time a Property is Listed Affect Sell Price?1707_420_280_crop_0381f

    On the flip side, if your home has been sitting on the market for several months to a year, the buyer will use your ‘days on market’ to negotiate against you, creating a ‘buyer advantage’ in negotiations. The longer you are on the market, the lower your offers will be (if you even get any offers at all). Most buyers consider homes that have been on the market a long time will assume that something is wrong with them, since they are still available and haven’t sold.

    Most MLS associations do keep track of Cumulative Days on Market (CDOM) on all listings, so you cannot hide your days on market, unfortunately, They will stay online for eight to ten years! This is why it is so important to put yourself in the best position possible to create a sale within 30 days after coming on the market, so you can negotiate from a position of strength with the buyer. Many sellers who choose to ‘try the market’ at a higher price eventually sell for far less than they would have if they had only been correctly positioned in the market in the first place. Re-creating that interest from the market weeks and months later is almost impossible and most buyers will have forgotten about your home in just a few short weeks. new-price

    Your agent needs to be your advocate. This means that they need to be willing to be completely honest with you about the price, even if it means you will be disappointed, or upset with them. Your agent needs to be honest with you about your market value and market conditions, as you will be making major life decisions based on this information. Make sure your agent takes a consultant approach in their business, not a salesperson.

     

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    2 thoughts on “Do The Cumulative Days on the Market Affect Your Selling Price? Absolutely. Read On To Find Out How And Why This Real Estate Term Is Crucial

    • Abby says:

      Our house has been listed on the market for almost a month and a half…should we take it off and re-list?

    • Betty Brown says:

      Hey Abby! That might be a good idea..however, the important thing is that you need to consider why your home isn’t selling. Do you have great, high-quality photos? Is your home priced correctly? If your home has been sitting on the market without many bites, it likely is because you may need to change some things in the listing. Talk with your realtor, and see what she says! Good luck!

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