Top 5 Reasons Apartments Don’t Sell
There are many pitfalls to listing your apartment. Case in point, the National Association of Realtors data shows only 8% of the residential real estate market transacts as FSBO(for sale by owner). The Cunard Team wants to help you sell your space in a way that improves your life. We put together the Top 5 Reasons Apartments Don’t Sell to help you make New York home, even if you’re relocating.
Top 5 Reasons Apartments Don’t Sell
It’s Overpriced –
If your home has been on the market for more than 30 days, you may need to consider reducing the asking price of your home. Every market has a different standard but in the absence of significant viewings of your home (digital and in person), you should evaluate your asking price. Another red flag would be receiving many visitors or offers only to have few or low offering prices. Many sellers price their homes out of need or sentiment and miss the signs when the market speaks. The longer a space stays on the market the more skeptical potential buyers become when they see it. There is no worse experience than reducing your asking price, only to have qualified buyers walk through your perfect home looking for the reason it has been for sale for 175 days. Uggh! If you aren’t sure how low is too low for the offers you are receiving, or your space has been on market for more than 20 days without a viable offer, call the Cunard Team to talk through your options. Be sure to mention the Top 5 Reasons Apartments Don’t Sell.
The Common Charges or Maintenance Monthlies Are Too High –
Similar to HOA fees, in New York common charges or monthly maintenance fees have large bearing on the affordability of co-ops and condos. This weight is amplified in the case of co-ops that look for 12-24 months of mortgage and monthly payments in liquid reserve after purchase. Most agents will suggest a reduction in price to balance the cost. Some sellers choose to incentivise buyers by offering to pay 6-12 months of the charges. Paying monthlies in advance is especially useful when the charges include a special assessment that may increase the monthlies by a couple hundred dollars per month for a number of months. A prepayment incentive will make the cost of moving more affordable and give the buyer a boost of, much needed, reserves.
There Are Too Many Units For Sale In Your Building –
In a market where there is a lot of competition, it may be difficult to get noticed or stay noticed. If buyers visit 3-6 units all at once it may be difficult to remember which on is which and what they preferred about one over the other. The second tier of that scenario is that eventually buyers will think back and wonder why so many units are for sale all at the same time. They will look for a fly in the proverbial ointment to explain why the building is in transition. Two simple and effective ways to mitigate this are to serve food and drink at the open house events and stage the space. If your bathroom is not fabulous then make sure your guests think the horderves and wine are. They may not remember the details of the wainscotting but if they remember the food, conversation, as well as how the space comfortably accommodated a party of people… They may be able to better see themselves in the space. Another tool for visualization is proper staging. There is a paradoxical effect in which staging a space can often make it feel larger than leaving it empty. Proper staging can allow you to control the feel of a space and allow people to understand the layout and flow of a room. Many buyers have difficulty guessing if the couch they love will fit against one wall or another, where the TV will go, if the room fits a king sized bed or a queen. Staging helps with the visualization process and allows you to create a feel that best showcases the spaces spaciousness or functionality.
Your Co-Op Board Has A Bad Reputation –
Co-Op boards can be as mercurial as a locked room mystery. Buyers don’t know what to expect but when a board issues several denials in a short time-span the word gets out and makes people uneasy about purchasing. You should have your agent speak with a board member to gauge the expectations of the board’s ideal candidate. Your agent is also responsible for attracting and presenting the most qualified applicants in the best light. That includes editing and reviewing the applicants board package and coaching them for the interview. Most of that should be done by the buyer’s agent but the onus is on your agent to make sure that nothing slips through the cracks.
Noisy Construction Nearby –
Loud construction is rarely an anticipated part of a lovely new home. Construction noise, dust, and traffic however are part of the top 5 reasons apartments don’t sell. Buyers who see tools and parked trucks and imagine workers flooding the streets bright and early, making sleep or parking impossible will not be eager to pay top dollar. The second tier to that line of thought is a concern for obstructed views or a form of commerce that detracts from the neighborhood. This line of thought is seller’s a can of worms. Consider installing “city quiet windows” or lowering the asking price to drive traffic. If all of the above issues are covered, then the buyer traffic should do the work of getting you enough offers to help get a higher bid. Alternatively, you can wait out the construction and list once the neighborhood has quieted down. Depending on what is being built there may be a risk involved in waiting. Talk to your agent to find out what the best course of action may be.
Thanks for reading the Top 5 Reasons Apartments Don’t Sell. For more information or to have questions answered, connect with us here or give the Cunard Team a call today.