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When house will not sell

A big fear in the backs of the minds of most people considering selling "by owner" is what to do if your home doesn't sell? What if you list it with yourself and, despite working hard, you simply can't find a buyer?

How long is too long? It's not an exact science, but there are some helpful indicators. In a dry market, a sales period of six months to one year isn't unusual. Look at recent sales reports of similar homes nearby to determine a reasonable selling interval. In a hot seller's market, a house that hasn't sold within three months indicates a problem.

Here are the 4 big reasons your home might not sell and what to do about them. Sometimes it helps to check these out even before your home on the market.

1. Price is too high.
2. Bad marketing.
3. Resale market is bad.
4. House shows badly.

Price is too high

Reconsider the price - The number one reason that properties don't sell, both those listed with agents and those offered "by owners" is that they're priced too high. A good way to check value is to do a CMA (Comparative Market Analysis). To learn the value of your home yourself, locate several homes in your neighborhood that are comparable to yours that are for sale or sold recently and inquire as to their selling price. You can also ask real estate professionals, hire an appraiser, ask your title company or check out our Appraisal Service links section for more information.

Bad marketing

Reevaluate your marketing. Are you running small ads in the local paper? Do you have lots of pictures on your website? Remember, a picture is worth a thousand words. You have to advertise, list online providing pictures and details... in other words get the word out. Until people know your home is for sale, they can't buy it.

Resale market is bad

Currently real estate has regions where prices are skyrocketing. And there are other areas where the market is static or even declining. Analyze your area. Are any homes selling, even agents' listings? If the market's bad, it may simply take longer to sell "by owner." Try again.

House shows badly

Appearance, if not everything, is a lot when it comes to selling a home. What are buyer's first impressions? Have you repainted the front of your home? Have you mowed the lawns and upgraded the front landscaping? Is the driveway clean? Perhaps you've only one bath (a difficult sell), maybe you need new carpeting or paint. Remember, you never have a second chance to make a good first impression. If you're not sure what to do, ask neighbors and friends to honestly tell you what they think of the front of your home. Once they're not worried about offending you, they may give you valuable insight into correctable drawbacks your property may have, drawbacks you may be totally unaware of.

If you've considered the four main reasons a property might not sell, have taken what corrective steps you can, and still your property doesn't sell, what now?

Co-broke your property

Are you offering to co-broke (pay half a commission) to an agent who brings in a buyer?

When it comes to selling "by owner", it is possible for you as the seller to co-broke your own property. When you're selling "by owner”, you're performing the functions of the listing agent. You've put a sign in front, you're taking phone calls, you're showing the property and on and on. Therefore, you can claim the half the commission. If you found the real estate agent who wants to co-broke, he'll usually want you to sign a short term listing to protect himself, and then he'll produce the buyer. Also read our article Use real estate professionals most advantageously.

Rent it out

You might get enough money to cover your monthly payment and with new financing, and you may be able to buy another home for almost nothing down. Also read our article Should You Rent Out Your Home or Sell It?.

Take your home off the market

Sometimes a property gets stale after being "for sale" for a time. Try again after a couple months.

Calm down

Everybody eventually sells his home. Be patient and you will sell your home too.

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