Here's a recent case study that shows how two different philosophies (investing versus cost-cutting) can have a huge impact on your bottom line.
The scenario
Two homes, in the same location, with virtually the same assessed value, listed at the exact same time. The home on the left was listed by Mad City Dream Homes. The home on the right was listed by a limited service brokerage.
The process
Our clients chose to invest in their sale by focusing on the fundamentals of proper pricing, comprehensive marketing, and professional staging. We also helped our clients implement a few light cosmetic touches (fresh paint and new light fixtures) which offered a significant return on investment.
The results
The sellers who hired the limited service brokerage saved a few thousand dollars in realtor fees, but their home sold for more than $68,000 less than our client's home. What's more, the limited service listing required a $25,000 price reduction and sat on the market for 3 weeks before receiving its offer. Our clients received multiple competing offers right away and sold in just 3 days. In the end, we were able to negotiate an accepted offer that was more than $68,000 above our clients' original list price.
The bottom line
The cost of selling is certainly one factor in determining your overall approach and who you choose to hire as your listing agent. In the big picture, your return on investment is more important. That's because cutting corners during the listing process can often lead to a large opportunity cost (that is, money left on the table) which can have a huge, negative impact on your bottom line.
No matter who you choose to represent you, you'll want to make sure you receive sound guidance from someone who helps you make good decisions throughout your home-selling journey. Selling your home is one of the biggest financial transactions of your life, so we encourage you to do your homework and choose your agent wisely.
We would love to be a resource for you if you're thinking of selling and you're in need of some good real estate advice. Call on us anytime for a helpful consultation.
