Brian Vogt: Welcome back everyone. This is Brian Vogt. You’re listening to Ready, Set, Sold. Thanks so much for joining us. In this segment right here, where I left off from the last segment is pricing.
One of the things I may have mentioned earlier is that military buyers are very much willing top dollar. Now, don’t confuse top dollar with overpaying. That is extremely, extremely, rare. If you’re a seller and you are, it doesn’t happen too often, but if you’re a seller and you’re trying to guesstimate or throwing a price out there just to see it’ll stick, you might as well kiss those military buyers goodbye. Just so you know, the military buyers in this area, from studies that we have seen, make up about 25% of the entire market in some form or another.
Some of those can be people that work for the government that are moving into the area, that’s also part of that too, but they have a very, very, big impact on the Metro East. One of the things that you don’t want to do is get into a situation where you are overpricing your home. They may look at it. They may not. When it comes to pricing and why this becomes so critical, it’s so different than most buyers.
Average buyer looks at 10 homes to make a decision. That’s the national average, and we see that to be even sometimes less than that depending on what market conditions are locally, here in the Metro East. However, however, again, three days to look for a house. Three days to look for a house. Guess what? Military buyers can look at 10, that’d probably be a minimum, 20, 30, 40 homes. I mean, they start at 9:00 a.m. and sometimes they will end all the way at 6:00 p.m. at night, 7:00 p.m. at night, if they don’t find what they’re looking for. They’re going to do that, maybe, on a Friday. They’re going to do that on a Saturday, and maybe on a Sunday. Their whole goal is, is by the end of that time that they’re going to have a house before they leave.
Remember, when you have a military buyer coming in, having everything in the best order possible. Making sure you have the staging, have the lights on, have this done. We’ve seen so many times, the military buyers will walk in and just by not having the lights on, you’re talking about not getting a second chance, they’re off to the next one. They don’t see everything. Things don’t look exactly the way they want. It doesn’t happen with every military buyer, but I can tell you what, it happens to most. They’re going to move right on. Getting that house staged right, getting it ready to go, is very important for the military.
Get them out there the first time, because again, they literally, literally, and we’ve seen this happen so many times, they may literally be looking at 10 more houses that day and it’s 2:00 in the afternoon when they come to your house. It’s very important that you have your house ready to go when any showing happens, but to military more importantly. By doing that, maybe in the morning, getting everything prepped. Again, hopefully you and your agent have talked about it, that you should be planning for showing, hopefully, maybe, at least one day. Maybe not, depends on what’s going on. Maybe it doesn’t have to be as many as that, but always be prepared for that showing so you don’t have to worry about trying to either cancel it or maybe the house isn’t looking as good as good as it could. That’s important.
The other aspect of it is when we talk about pricing is that we can also talking about what is resale value? This is where that comes into play, and understand that military is looking at that. Again, maybe, you’re not intentionally putting the price up and just seeing if it sticks. Maybe, though, you’re being a little bit more aggressive than you need to. Maybe you’re taking it above the boundary lines, and we’ve seen that happen before. Again, you can get knocked out, because they’re looking at so many houses.
Remember, the military buyers are some of the best buyers. In fact, they’re the best buyers in the local market, as far as my personal opinion goes. They’ve done this before. They’ve, most of the time, done their research. Again, they’ve had three months, maybe, to get here. They’ve been combing the area. They know a lot about the area, but now they need to see the houses.
If they see something that doesn’t seem to stand out that is overpriced, again, are not in, maybe, what is going on in the local market, they may look at your house and that’s fine, but they probably aren’t going to buy it. Again, they’re willing to pay top dollar. They’ll gladly pay top dollar. That’s not the issue. If you have pricing that isn’t conducive to your local market … And we’ve talked about that before, in the past three months, what’s going in your immediate area, whether it be your street, or whether it be your subdivision, or whatever that is, you want to make sure that you’re really into that. That’s how you’re going to get those military buyers to come knocking, and to come look at your house, and putting an offer on it, and getting a sale.
We’re going to talk about, in the next segment, how negotiations need to be so critical and how fast they move. You don’t want to miss that, because we’re going to go in deep and give you some stories about how, maybe, you should do it, and maybe how shouldn’t do it if you’re trying to sell to the military buyer, and really for any buyers. Again, I’ve said this before, if you gear up for a military buyer, you’re going to have fantastic success in the local market too.
Again, that could be 75% of the other market that’s out there, so that’s a great thing. Hey, there’s this and there’s so much more in the book. It’s free, absolutely no cost for you. Go to readysetsold.org, not .com, and get the book.
Ready Set Sold with Bryan Vogt #10-03: Over-priced houses need not apply
July 29, 2017