SELLER LEVELS OF MOTIVATION

Understanding Home Sellers

With nearly 55% of the homes on the market failing to sell in the first 6 months on the market, it is important for a prospective home buyer to understand that there are home sellers out there with different levels of motivation. Choosing the sellers with the highest motivation will allow the buyer to make a safe purchase in today’s real estate market.

I like to classify seller motivation levels in three distinctly different categories:

1. Considering Selling – This homeowner does not really need to sell the home. If they can get their price, they will sell. If not, they will stay in their home. This type of homeowner will not sell their home in today’s market, so home buyers who actually view the property are just wasting time.
2. Want to Sell – This homeowner has a real need to sell, but has not priced the home correctly for one of many possible reasons. Often times, this homeowner feels as if they have plenty of time to sell, so they are “starting high and will lower the price if it does not sell.” Due to the extreme glut of homes on the market, this homeowner will most likely join the ranks of the 55% “Failed To Sell” group.
3. Must Sell – This homeowner absolutely must sell the home, and the asking price of the property for sale demonstrates this. It is the best buy in its category, and all realistic home buyers view the house. This home has an excellent chance of selling, even in a difficult real estate market.