Today I am going to write about a topic I am experiencing firsthand…seller denial. I have been considering listing my single family house in Fountain Hills, Arizona for sale. I had not run comparable sales (comps) for my house in quite a while so I entered all the pertinent data about my house into the MLS: square footage, # of bedrooms, # of baths, 2c garage etc, then I waited for the MLS to tabulate the comparable market analysis (CMA) so I could see the average list price & average selling price in the last few months for homes with similar features.
It came up on the screen…I was SHOCKED! I was so convinced there was a mistake, I had a colleague at Thompson’s Realty run the numbers as well, no surprise, she came up with the same numbers I did.
I found myself being taken over with the voice and mind of a prospective seller. The feeling I was experiencing was MY house should sell for ALOT more that what the numbers say…regardless of the fact that the numbers were right there in black & white. Then the typically seller dialogue started to play in my head, “but my house is architecturally unique, I have a premium lot, I have unobstructed mountain & fountain views…etc”.
I logged on to the Phoenix Business Journal’s e-mail update this afternoon and there is was again…what I did not want to read or hear. An article titled, Survey: Homeowners still in denial about falling values.
Sometime this afternoon the REALTOR voice and mind inside of me came back to life. I know the current market in the Phoenix Metro Area does not lend itself to overpriced listings or attempting to ”test the waters”. I needed to remind myself that I am fortunate to have bought my house prior to the big run up in ’05. If I were to sell it today for the average sale price of comparable homes, I would still be looking at a modest profit, not bad in today’s market.
With all that said, I am still pondering whether I can swallow the reality and list the house for a realistic price…I will keep you posted!
Great insights on first hand knowledge on what sellers are feeling. I will look forward to you updates and more blogging.
Great post and so true! The rules are different in a declining market and it’s so hard for homehowners to believe this truth. Sellers should put themselves in buyers’ shoes. Buyers might have 100+ homes to choose from. They’re going to choose the best bang for their buck. If your house isn’t the best in the neighborhood, AND cheaper than most, buyers will take a pass.
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