Consumers still do not buy or sell properties based on statistics. This week, the news stories reflect how "new" home sales are up while others, at the same time, reflect that used home sales are down.
If consumers really must see this constant barrage of statistics, perhaps it is time for the real estate community to be working on statistics which really could or would encourage home sales. Or, at the very least, start to establish a hint of faith that the real estate market will improve in our lifetimes.
Simply put, homes should be sold "against" other similar homes, and not based on sales statistics from weeks, months, or years ago.
In order to encourage sales, the time has come to use recent sales of specific categories of homes in specific regions. Make it positive and current statistics only.
The realty agents and offices should be finding and including only the most favorable statistics for their local area(s) within their approach. Never mind the "fewer than two years ago" crap.
Tell us that "Five more north harbor homes were sold last month than in the south harbor area", or that "More homes were sold in East Springfield than West Springfield over the past two months". This type of statistics promotes the fact that homes have sold in each of these "local" areas very recently, which is more important than one area out-selling another.
At the same time, a listing for sale in West Springfield (the 'lesser' sales area) could be advertised with "More homes priced under $150,000 were sold in West Springfield than East Springfield" as an appeal to people looking in that price range.
The point is that this is the type of statistic that will reach the potential home buyers. A family which is qualified for a $140,000 property in the Springfield area will jump on the above statistic a lot faster than reading that the local Realty Association "reports" a decrease in home sales for the month of May compared with the two previous years.
Like with sports, TV ratings, and many other financial avenues, there are true statistics out there to make most any property statistically attractive. This is what the realty agents should be spending their time finding and "reporting" via their advertisements, blogs, and social networking. Remind local consumers about which areas and categories are most recently selling compared with others, and you'll be planting the seeds for future business.
If two other homes on your block have sold within the past three months, but none within two blocks either way, that should be making your home a lot more attractive.
Everyone needs to keep in mind that a home for sale is in competition with other homes in the same general area to be sold. Not with what did or didn't sell months or years ago. I'm 100% sure of that.
Book Briefs #44
4 days ago