2. Appreciating/Depreciating Market Appreciating Market Low interest rates = Prices pushed up = Sellers don’t sell = Low inventory = PRICES UP Depreciating Market Seller greed = Overpriced listings = Reached tipping point = Inventory increases = PRICES DOWN
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5. FACT: Buyers Buy When They Perceive Value Inventory sells at its highest price in the first days of exposure
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7. THE BUYER POOL Perception: Fewer buyers in the marketplace = Buyer’s Market
8. THE BUYER POOL Perception: More buyers in the marketplace = Seller’s Market Conversely, there is also the perception that the buyer pool expands in a so called “good” market.
9. THE BUYER POOL The Reality: The buyer pool remains relatively constant . It’s the buyer’s perception of value that pushes prices UP or DOWN! The Paradigm Shift FACT: There are more buyers who can afford less expensive homes than those that can afford higher priced homes. Scale of Value
10. The Law of Economics is supply vs. demand. It is the supply that controls the demand, NOT the demand that controls the supply.
14. The Importance of Market Positioning Educate Buyers just entering market What is it worth? Buyers wanting to buy What will it take? Buyers prepared to buy
15. The First 14 Days Are the Most Critical in the Marketing of Your Property We’ll show you the statistics First 14 Days Educate
16. What is the Market Doing? We Can Always Tell Whether The Market Is Going Up or Down by Measuring The Amount of Inventory Coming On Or Off The Market Educate Inventory coming on… Inventory going off… Inventory coming on… Inventory going off… Prices go DOWN Prices go UP
17. Gold to Sold Educate Depreciating Market Appreciating Market Abundance of energy and no inventory Abundance of inventory and no energy Abundance of inventory and no energy. Competitive pricing makes your home look good compared to the other inventory and creates the same environment as an Appreciating Market.
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19. Educate As a Listing Company We Focus on Those 87% of Sellers. If Our Negotiating Expertise Puts More Money In Your Pocket Than Our Competitors, Then You Will Tell Your Friends About Your Positive Experience and That’s How We Build Our Reputation. WE CAN’T AFFORD TO LET YOU DOWN!!!
23. Three Phases of Showing: $525,000 $514,900 $539,900 45 Days on the market 70 Days on the market 100 Days on the market Creating Perception Of Value Where Do You Want To Position Your Home? ??? REPEAT SHOWINGS: home being shown continuously with second looks SHOWINGS BUT NO SECOND LOOKS: home being shown but not perceived as a good value NO SHOWS : home is above the market; no perception of value
24. How To Create “Drama” Fair Market Value Ex. $509,000 More drama, more bids $489,000 $509,000 Less drama, less bids Creating Perception Of Value
25. Staging: Before What’s wrong with this room? Reprinted from Plan B Redesigns [ http://planbredesigns.com] with permission. Copyright 2006. All Rights Reserved. Creating Perception Of Value
26. Staging: After Notice a difference? How much do you think these improvements cost? Do you think the improvements increased the value of the home? Reprinted from Plan B Redesigns http://planbredesigns.com with permission. Copyright 2006. All Rights Reserved. Creating Perception Of Value
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30. Historical Proof of High Inventory/ Lower Sales Price & Low Inventory/ Higher Sales Price High Inventory Low Inventory $ $ X X 1982 1987/88 1995/96 2005