We're Getting Lots of Showings & No Good Offers...

Dear Dave,

I had 24 showings been on market 59 days one low ball offer week after listed we did not accept, now no other offers.  I dropped the price of the house 8 thousand off the list price a month ago and still no offers.  Our house is in move-in condition and the neighborhood is very nice. After a price drop only two showings please advise since we still have no offers.

Mary B. No area provided

***We also received a similar question from Robert***

Dave,

I have a home that has gotten over 50 showings with no offers. Our home shows like a model and consistently get compliments about how beautiful and well keep it is. On the advice of our agent, I have reduced our price over $120,000 during our listing period with the same results….  No offers. Having spent my entire career as a senior global marketing executive and with an Ivy League MBA.   Analysis dictates that the marketing is attracting the wrong customer which would account for no buyers. I would be interested in your take.

Robert M., No area provided

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Mary and Robert,

Since your questions are quite similar, I am going to try and a new approach and answer both at the same time!  You both have VERY similar scenario’s and I would suggest that both of you have had enough showings that you should have had offers by now.  Also of note is that between the two of you you have had nearly 75 showings and only one offer….. I might suggest that you might start to consider things are not as perfect/pristine as you may believe.  I will also note that both agents are providing ample traffic and must be doing a good job of marketing your properties.

Mary, I am not sure how low your “low ball” offer was, but there is the old adage that often proves true…. “first offer, best offer”.  What that means is that the first offer you receive is often times the best offer you will get.  I have found this to be true more often, than not.   If we put that lost offer in the rearview mirror, we must focus on the present and what lies ahead!  Robert, I would suggest that you should also focus on what is in front of you and not spend much time concentrating on the past.

From what you have both have described your traffic is fantastic, statistically, you should receive an offer within 13-15 showings and Robert I would suggest that despite the $120k in price reductions your value is still too high for what buyers are finding.  With so many showings there is something else going on rather than price.  Buyers are finding out about your homes either online or through their agent's efforts.  Buyers are liking what they see enough to schedule a showing (which generally means that the pictures and price appear to be acceptable), but end up not writing an offer.  This generally (not always) means that there is something else going on.  It might be the condition, floor plan, odors, neighbors, colors, setting, high traffic road, a barking dog next door or any number of other issues that would cause buyers to not choose your home.  Ultimately, all things being equal, there are three things you can control, marketing, condition, and price.  If the marketing is good (Robert I know you are questioning this) then you will get showings and 50 is a lot!   If that many are coming to look you can assume there is something else coming into play if they are choosing other properties….. If you have a condition issue or non-desirable feature, those are typically only cured by either price changes or just waiting for the perfect buyer fit.

 Lastly, it is not out of the question to say that the marketing is attracting the wrong buyers, but to attract 50 wrong buyers and no right ones would be statistically very unlikely unless your home is so specific in features and price that it only will be attractive to a VERY narrow pool of buyers. If this is the case a marketing adjustment needs to be done to ensure the approach is more targeted.  It's hard to get buyers excited about an amazing riding arena and barn if none of them ride horses! 

I am putting out good vibes for both of you and am hopeful that your journey will come to an end soon but try to remain patient.  Remember it only takes one showing to completely change your outlook!  Thanks again for writing in.

Dave Kimbrough

The Kimbrough Team

What's Best Sewer or Septic?

Dear Dave,

We live in an older neighborhood and our house is connected to a septic system. The system is about 30 years old and we suspect it may be nearing the end of its lifespan. The public sewer line has been brought into our neighborhood, but the cost to hook up to it is about $10,000. 

We need some advice on the route we should go - septic or public sewer system?

Thanks for answering questions each week - we look forward to hearing how you answer ours.

Thanks in advance,

Mick and Jamie – Grand Junction, CO

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Mick and Jamie,

This one is easy!  Keep your septic system running as long as you can, because when it fails you will HAVE to hook up to the sewer system.  Once sewer has been run to your neighborhood you are obligated to hook up if/when your septic fails.  That means, keep your septic running as long as you can to avoid the sewer installation and plant assessment fees, but be prepared for expenses either way.

Here are some common signs of septic system failure:

1.      Slow drains or “stuff” backing up into your home.  If you have slow draining you should call and have your septic tank pumped out.  Your tank may be overloaded with solids and just needs to be pumped out to restore proper flow and allow it to properly drain into the leech field.

2.      Unpleasant odors inside or outside your home.  You will know the smell when you smell it.  It most likely won’t be a, “honey do you smell that?” smell, it will be a “Honey is that you?” smell.  All kidding aside, it will be a noticeable sewage odor.  Make sure to have this looked into before your next neighborhood party!

3.      Soggy areas or puddles in your lawn, when it has not been raining.  This is likely telling you that your drain field is going bad and not properly draining.   If you notice this, it needs to be addressed as soon as possible.

If you have slow drains, gurgling sounds, waste backup in the home or foul smells in your home, it very well could be a clogged main line or issue with your tank.  If you have not already done so, I would have Goodwin’s Septic come out and pump your septic tank and have it inspected to see if you have any issues that can easily be corrected.  It is my understanding, keep in mind that I am no septic expert, that if your tank and lines check out and you have puddles, standing liquids or drain field issues, you are likely to need a new field.  This means you would have to abandon the existing field and install a new one.  If your field or tank has failed and you have sewer in your neighborhood, you will have to “hook up” to the sewer system and abandon your septic. You realistically will not have a choice.

Keep in mind, the nice thing about Sewer is, you flush it and forget it… for the most part. The bad part is the ongoing costs associated with monthly sewer bills.  Bottom line, If sewer has come to your neighborhood, it is just a matter of time till you become a part of it. 

Dave Kimbrough

The Kimbrough Team