The Top 10 Home Seller Frustrations in the Guelph Real Estate Market

We all know that the local real estate market has been slow this year. The result of a combination of high interest rates, higher inventory of homes for sale, and a lot of buyers just sitting on the sidelines. I’ve had the benefit of being through a slower market in the past (a few of them in my 37-year career) and know what it takes for home sellers to be successful, even when there’s lots of competition in the marketplace and buyers seem reluctant to make any type of buying decisions.

Selling a home can be a complex and emotional process, especially in a dynamic market like Guelph. While days on market has been climbing in Guelph, the median is now approaching 30 days. While it’s up considerably from 5 days, like at the peak in 2022, it’s nowhere near the 100+ days it took to sell in the 1990’s. Technology has certainly helped speed the process up, but it’s also allowed frustration to settle in much quicker.

Here are the top 10 frustrations that sellers (and their Realtors as well) have been facing, along with practical solutions on how to address them & still be successful, even in a slow market like this.

Home Sitting on the Market for Months?

Analyze Pricing: Compare your home's price to recent sales and adjust if needed - maybe the market has changed since you’ve listed or other factors have impacted the price.

Enhance Curb Appeal: Invest in landscaping, fresh paint, and new fixtures. A little touch up goes a long way and might just be the thing to get buyers in the door.

Stage the Interior: Create an inviting atmosphere for potential buyers so they can see themselves living there.

Aggressive Marketing: Use online listings, social media ads, and open houses to get as much exposure as possible - the buyers are out there, you might just have to find them!

Offer Incentives: Consider home warranties, closing cost credits, or rent-back options.

Having to Re-list at a Lower Price?

Market Analysis: Price accurately from the start based on recent sales data (this is where your local Realtor really comes in handy!!)

Repairs/Renovations: Increase perceived value before re-listing by making minor upgrades.

Incentives: Offer to pay closing costs or provide a home warranty to sweeten the deal for buyers.

Update Marketing Materials: Highlight upgrades or price reductions.

Pricing Strategies: Consider starting lower to attract more interest initially - any offer is better than no offer at all!

Lack of Interested Buyers

Professional Photography: Enhance online listings with high-quality photos and compelling descriptions (again, this is where your Realtor should be coming in with quality photographers!!)

Increase Exposure: Use social media, open houses, and direct mail.

Promote Local Amenities: Highlight neighbourhood benefits, schools, and future developments.

Offer Incentives: Flexible closing, rent-back after closing, or home warranties.

Broker Open House: Get feedback from other agents on pricing and condition - or maybe someone just might have a buyer for you!

Buyers Making Lowball Offers

Get Offers in Writing: Don’t respond immediately to lowball offers and don’t be insulted by lowball offers, at least they are making an offer. Those that say “nice house”, yet can’t be bothered to make an offer are often more insulting.

Counter with Comparable Sales: Justify your asking price with recent sales and counter based on those statistics.

Negotiate: Suggest meeting in the middle or offering non-price incentives. I’ve always suggested to my sellers to never leave the ball in the buyer’s court.

Stay Professional: Politeness can go a long way in negotiations - keep it professional!

Be Prepared to Walk Away: If the offer is unreasonable, don’t be afraid to decline - you never know what else could be coming your way!

Dealing with Conditional Offers

Understand Conditions: Know the types of conditions like financing and home inspections and ask questions around buyer expectations.

Request Short Condition Periods: Minimize risks with shorter periods (e.g., 5-7 days).

Attend Inspections: Understand issues directly by being present and speaking directly to the inspector.

Sale Contingencies: Consider rent-back agreements as contingency plans.

Pre-Inspections: Identify and resolve issues ahead of time instead of being surprised by issues that come up down the line or trying to hide them (trust me, they will find the issues).

Preparing Home for Showings

Depersonalize: Remove personal items and declutter so buyers can see themselves in the home.

Deep Clean: Ensure your home is spotless and smells pleasant.

Enhance Lighting: Open blinds, replace bulbs, and add lamps.

Rearrange Furniture: Showcase floor space and flow. Follow the designer/stagers instructions.

Leave During Showings: Allow buyers to envision themselves living there by not being present and hovering over their shoulders.

Competing with Many Other Listings

Market Analysis: Understand pricing and your home's unique features compared to the competition.

Creative Marketing: Stand out with innovative strategies. Passive marketing vs Pro-active marketing. Is your agent actively working to find buyers for you, or just relying on the MLS® system to do the heavy lifting?

Offer Incentives: Home warranty, closing cost credits, or temporary rent-back. Lots of opportunities to be creative here.

Staging: Use modern furniture and decor to make your home move-in ready and highly it’s potential.

Quick Responses: Be prepared to review offers and negotiate promptly, don’t make the buyers or sellers wait on you!

Unrealistic Expectations About Market Value

Comparable Sales Data: Provide recent sales data from the neighbourhood - the numbers don’t lie.

Pricing Strategies: Discuss negotiation room versus pricing too high. I call this ‘risk tolerance’.

Condition/Amenities: Compare with homes that have similar features and are true comparables.

Pre-Listing Inspections: Recommend inspections and updates.

Manage Expectations: Discuss likely sale price and timeframe upfront so all parties are on the same page going forward.

Negotiating Repairs/Credits with Buyers

Get Inspection results: Understand issues and repair costs firsthand so there aren’t any surprises.

Get Quotes: Obtain quotes from licensed contractors to better understand what the true costs are.

Compromise: Offer closing cost credits for minor repairs instead of making fixes.

Negotiate Major Issues: Split repair costs or contribute as the seller.

Highlight Updates: Remind buyers of recent home improvements.

Staging/Marketing Costs to Attract Buyers

Affordable Staging: Hire a cost-effective staging company and use existing decor.

Professional Photography: Use high-quality images and drone shots.

Social Media Advertising: Target local buyers with ads - in this digital age, there’s plenty of ways to attract buyers without having to print a thing!

Commission Rebates: Negotiate marketing credits with your agent.

Weigh ROI: Consider the return on investment for attracting better offers.

Selling a home in Guelph can be challenging, but understanding these common frustrations and their solutions can make the process smoother and more successful.

There’s a common thread found throughout this list. A lack of imagination and a willingness to work outside the “it’s what has always been done” box.

The vast majority of agents in the industry today have only ever known a rising and fast paced market.

Yes, the market has slowed and there are few sales.

Yes, the days on market have more than doubled over the last 12 months.

Yes, inventory levels are higher - there’s over 700 listings in our market now.

Despite these frustrations, as a home seller, you don’t have to settle for less - there are agents that recognize the market has changed and are getting better than average results.

I might happen to know one or two of them….

Ready to make your move? Schedule your private consultation today to get expert advice and a success strategy tailored to your needs.

Thanks for reading & enjoy the weekend!

Paul Fitzpatrick

Appointment Calendar: https://calendly.com/homegrouprealty

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