Price Adjustments

Anthony Lamacchia – August 8th, 2018

Hey, everybody. We’re talking about the importance of price adjustments and how they come up a lot more at this time of year. I think that July was probably the biggest month year to date of price adjustments. I know that there are many more that are needed market wide and that’s typical with the market because inventory is higher in the summer, lower in the winter.

It’s also the time of year that prices tend to be a little higher because sellers are reaching a little bit. We talked about that and we talked about some of the things that you can do to help sellers understand so that you don’t end up with a home seller that is basically blaming you for their home not selling. Some of the things that we talked about were using data from the MLS. What report was it in the MLS we talked about?

[00:00:40] Audience: On Market Snapshot.

[00:00:42] Lammachia: On Market Snapshot. If you’re in Massachusetts, that’s in our MLS and it’s in most of the ones around the country. To show people the difference between how many homes were for sale right now, and how many homes were for sale say three months ago, four months ago, to show them the difference in their neighborhood.

We also talked about what? Sending–

[00:01:00] Audience: E-mails.

[00:01:01] Lammachia: E-mails in advance of having a price adjustment conversation because we said sellers believe what they see. They believe what they experience, they have a harder time believing what they hear. Send them an e-mail in advance, tell them all the things you’re doing to sell their home, show them reports, show them the reports on how many views they’re getting online, how many clicks they’re getting online, all those kinds of things. Let’s see, what else did we talk about? Mike?

[00:01:26] Female speaker: Starting at the [unintelligible 00:01:27].

[00:01:28] Lammachia: Yes, talking to sellers about the right price from the beginning when you sign up the listing, that’s a good one. Then Mike talked about the matching. That’s right on MLS. In our MLS, you can actually go on– Meredith, come on, don’t be shy. Sit down. That’s all right, Angela stole your seat. Just sit over here.

We talked about client matches in the MLS and how you can actually show a seller, “Hey, your price is at 425 now. If we go to 399, there’ll be 300 more matches in the MLS, they will be 400. If you go to 375, there’ll be more. In 350, there’ll be more.

You’ll find as you go down in the price, there will be more client matches. When you show that to a seller, the seller will understand you a lot better and they’ll be more motivated to drop their price more. At this time of year, many times that is what’s necessary to get their homes sold. Did I forget anything? Probably.

[00:02:22] Female speaker 2: The blog.

[00:02:23] Lammachia: Oh, using the blogs, that’s right. Realtor friends, go on our web site, top right corner and type in price adjustment. There’s a blog in there called The Art of a Price Adjustment. It is the most comprehensive price adjustment blog you will find. Feel free to use it with your clients. That’s all everybody. Have a good day. Everybody say, bye.

[00:02:42] Audience: Bye.

[00:02:44] [END OF AUDIO]