A seller resource

Why Houses That Need Work Don’t Sell

Your listing expired or was cancelled, and since then several agents have probably told you the same thing: the price was too high. Sometimes that’s true. But with a house that needs work, price is usually only part of it. Here are the three reasons a house like yours sits, and how to tell which one it was.

1. Price, measured against the wrong houses

A house that needs work has to be priced against other houses in similar condition, not against the renovated one that sold down the road. If the comparison was off, buyers saw it right away and moved on.

2. Marketing that apologized for the house

Dark photos, a picture taken from the road, a description that skips over the land, the shop or the space. When a listing looks embarrassed, buyers assume the worst and scroll past. A house that needs work should be shown for what it can be, with the condition stated plainly.

3. Buyers whose loans couldn’t buy it

This is the one most people never hear about. Many loan programs have property requirements. A roof near the end of its life, peeling paint, missing handrails or a heating system that doesn’t work can stop the loan, even when the buyer is qualified. If your house was marketed to buyers whose loans couldn’t close on it, you may have had interest and offers that never made it to closing.

I spent nine years marketing and building mortgage teams alongside loan originators, so this is the problem I look for first. The fix is often a short list of repairs, or marketing aimed at cash buyers and buyers using renovation loans.

How to tell which one it was

Melissa Harmel, Realtor®, CRS, ABR · eXp Realty, LLC · AL # 000164573-0 · GA # 451015 · Equal Housing Opportunity. If your home is currently listed with another agent, this is not a solicitation.