Over on Active Rain, there was a post about an agent holding a listing for a year.  The seller was cool with it, because he really only wants to move if he gets “his price.”  After being on the market constantly for over a year… there were no offers.  None.  Very few showings.

What does that say?

It says that “his price” is not realistic.  The house is on the market, but it really isn’t for sale.  He isn’t looking froa a serious buyer, he is looking for a sucker.  He doesn’t actually care if it sells or not.  And the agent isn’t spending any money or effort marketing it.  The seller knows that… and it’s all cool.

But it really isn’t.

Here in Gwinnett County, there are around 10,000 properties listed.  There will be around 2000 properties that come on the market in August.  About 700 properties will sell.  That means that 7% of the properties on the market will end up sold for the month, and during the average listing period, only about 35% of the properties will close.

This isn’t a market for the casual “seller.”

Now, in the case of the previously mentioned blog post, the seller is fine with the situation.  The agent isn’t just fine with it, she was bragging about how happy her seller is, and how what he was upset with was all of the agents calling when the listing expired.  He was even telling agents that he really didn’t want to sell the house… unless someone was willing to overpay.

In reality, it is a waste of everyone’s time.

The sellers are wasting their time keeping the home show ready for the buyer that never comes.

The agent is wasting her time holding a listing that isn’t going to sell.

The buyers are wasting their time having to sort through listings that aren’t actually “for sale”, but just occupying a spot on the MLS.

And it throws off the market reports.

If only 35% of the listings in Gwinnett County are destined to sell… what are the other 65% doing there?  It makes it look like the market is worse than the reality.  It makes it look like buyers have choices but they aren’t real.  It means that the picture of the market is that much more distorted.

I’ve taken over-priced listings…

EVERY agent has.  And every agent will.  I know that I will take an over-priced listing occasionally.  But the difference is that I don’t take it feeling it is over-priced.  And I am sure not so proud to annouce to the world that my listing is over-priced and my seller will only sell if he gets “his price”.  And that I don’t really market it because I know it is over-priced. I market my listings.  I place a bet on them.  I am putting my money where my mouth is. Frankly, over-priced listings are a danger in the business.  But I can tell you now that I do not choose to waste the time of other agents and buyers.  Sometimes, the listing just needs to be presented better.  I like challenges…

Don’t hesitate to shoot Lane a message if you have any questions, or need any help. And check out the new links for FREE Property Searching, FREE Comparative Market Analysis and FREE Market Reports. They are near the top of the page…