"ANOTHER HOUSE SOLD BY X," SHE SAID -- BUT IT JUST AIN'T TRUE

By
Services for Real Estate Pros with William S. Cherry & No Co., Wealth Coach

                                                                       Bill Cherry Logo

                                                                    Bill Cherry, Dallas Realtor

                                                                             My 43rd Year

                                                                            972 380-7347

                                                                      cherrysells@aol.com

            Real estate sales and marketing is such a peculiar business.  And it's often a business of inference and half-truths.

            Over the past six months or so, I've watched the most interesting pattern.  A longtime agent with one of the large real estate firms got a listing in Lake Highlands.  It was near my house, so when the sign went up, I checked to see what the particulars were.

            There was no question in my mind that the agent had under priced the house by at least $20,000.  We're talking about a house that I felt the recent comparable sales showed it should have been listed for at least $200,000. 

            Within a day of the sign in the yard, the "contract pending" rider went up.  And then came the agent's sign to the yard, proclaiming "Another house sold by X," and with her picture with her toothy grin underneath.

            Within two weeks, her sign appeared on another listing a few doors down, and it was another one that she under priced. And like the first one, within a week the "contract pending" rider went up, and then came the agent's sign in the yard proclaiming "Another house sold by X," with her toothy grin rider attached.

            And this run of good luck has has now continued through five houses, all within a few blocks of each other.  All improperly priced, so all quite naturally brought quick sales, and that further confirmed in the neighborhood's minds that she is the agent with whom you should list.

            The facts are as follows:

•·        In addition to the approximately $12,000 in commission each seller paid her, they lost at least $20,000 a piece.  Consequently the cost of the commission and the loss of equity made the cost of doing business with her $32,000 or 16%.

•·        Although her sign said "Another house sold by X," a far more appropriate and truthful sign would have said "Another house listed by X and sold by Y.  After all, she didn't sell any of those houses.  Agents with other companies sold them.

            The competence of the listing agent when determining value, the placement of the property within the marketplace, the advertising and marketing of the property and countless other things are the foundation of a good real estate sale.  It isn't the selling side.  (The real work is done in the office's back room.)

             Interestingly this agent showed she was inept at listing and probably inept at selling as well.

             And that's why if you're planning to sell or buy a home, it's very important whom you pick to represent you.  It's the time to forget friendships and favors owed, and concentrate on picking the real estate doctor who knows how to do the operation so that your chance of "financial survival" can be dramatically increased.

             If you're in the Dallas area, call me.  If you're somewhere else and want help in finding a competent listing agent, you can call or email me, too.  There are a lot of Supermen and Wonder Women agents out there.  And they don't cost a nickel more.  You deserve to have one working for you.

Copyright 2007 - William S. Cherry

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Location:
Texas Dallas County Dallas
Tags:
dallas listing
lake highlands listing
lake highlands realtor
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Comments 12 New Comment

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Rainmaker
592,493
Lisa Hill
Daytona Beach Real Estate
Florida Property Experts

Don't you hate not being able to tell the truth to the public, when you know another Realtor is completely dishonest? I have to deal with a couple in my own neighborhood that are as slimy as the come. It drives me nuts! (But my husband doesn't violate any Code of Ethics if HE speaks with any neighbors)

bright idea

May 18, 2007 01:44 PM
Rainmaker
604,278
Teri Eckholm
Acreage & Lakeshore REALTOR Minneapolis St Paul
REMAX Specialists
Welcome to Active Rain Bill! Good post! Some people don't always understand that a quick one-liner for marketing isn't the whole truth!
May 18, 2007 01:46 PM
Rainmaker
965,691
Gary L. Waters, Broker Owner Waters Realty of Brevard, LLC
Personal Service, always.
Waters Realty of Brevard, LLC
That "ethics" thing is lacking in many agents. As the market declined, so did the character. What a sad statement!
May 18, 2007 01:47 PM
Rainmaker
48,864
Greg Flanagan
Charleston Real Estate Expert
RE/MAX Advanced Realty

Bill,

Sounds like you live in a highly desirable neighborhood with the quick turn around and all. :) If she is doing it intentionally and has a  track record of lowballing a neighborhood my ethics would force me to act. A grievance to the local association, even though more then likely it would be ineffective would put a spotlight on her. If nothing else let her know someone is watching her. Or the next time I saw she had a new listing immediately mail the neighborhood with a "Make sure you know what your home is worth before you sign. Get a second opinion call me" type mailer or flyer. In my short tenure here I haven't seen this happen yet but I'm sure it has.

 

 

May 18, 2007 04:28 PM
Rainmaker
238,853
Gene Allen
Realtor Hampton Roads Real Estate
Resh Realty Group

Sounds to me like she did her job and set the prices for the market.  In our part of the world the listing agent can advertise the property as sold anytime but the selling agent is only allowed to after the sale is closed.

May 18, 2007 05:06 PM
Rainmaker
318,916
BILL CHERRY
William S. Cherry & No Co., Wealth Coach
William S. Cherry & No Co., Wealth Coach

Thanks for Lisa, Teri, Gary, Gene and Greg for their thoughs and input.

Bill Cherry

May 18, 2007 06:15 PM
Rainer
3,347
MISSION BUILDERS
Design ~ Build We Care.
SAY "IT Ain't SO."
June 25, 2007 08:04 PM
Rainer
43,117
Dustin Oldfather
Delaware Ocean & Water Front Homes
Ocean Atlantic Sotheby's International Realty

Sounds like she hit the market price to me!

May 03, 2009 08:05 AM
Rainmaker
318,916
BILL CHERRY
William S. Cherry & No Co., Wealth Coach
William S. Cherry & No Co., Wealth Coach

No, Dustin.  That's not what it shows at all. 

If you learned that's what Sotjeby's is teaching its agents, they need to stick to antique auctions and get out of the real estate business altogether because they very obviously have no understanding of it at all.

May 03, 2009 08:12 AM
Rainer
43,117
Dustin Oldfather
Delaware Ocean & Water Front Homes
Ocean Atlantic Sotheby's International Realty

...love it! We work at our craft...that is a broad negative stroke of a negative brush, and certainly beneath someone of your experience, and purported values.

We are seeing many sellers in our market clinging to unrealistic values, and when sellers make adjustments to meet the market price..its magic...the propertty sells! People are waiting for a market to return...whne the market has already moved on.

Certainly, someone with your experience and resume has incredible knowledge of your market, and perhaps there was some money left on the table. But, as we all know when you price something at the market price..it tends to sell. When you market below market price..you generate multiple offers. Statistically-this yields better results than pricing high and adjusting down to the market. I certainly appreciate the difference in philosophy...listing for volume above market (Keller) vs. at market and carrying no fat (Mike Ferry)

Personally, you just set such a negative complaining tone about an agent doing her job...selling the property...I felt compelled to interject. There are some lessons in Hard Optimism that ou may benefit from reading again.

If you are right - then you are not doing your job...you should be telling the world and that agent should never have gotten the listing. Maybe you should just hire her and teach her how to price the property correctly...or maybe you should have picked up the phone and helped educate her broker.

Respectfully disagreeing,

Dustin Oldfather

May 03, 2009 01:20 PM
Rainmaker
318,916
BILL CHERRY
William S. Cherry & No Co., Wealth Coach
William S. Cherry & No Co., Wealth Coach

Dustin,

The logic remains lousy.  Let's reduce your premise to the absurd.  What if the agent priced the house at a buck.  It'd probably sell in a moment.  Your idea is, then, that since it sold so quickly proves the agent priced the house right. 

My idea somewhat different than yours.  Mine is that the agent ought to be sued by the seller for his/her totally incompetent representation. 

And I'd be glad to serve as an expert witness on behalf of the plaintiff at that trial at no charge whatsoever.

So much for this disagreement.  It's definitely time for both of us to go back to doing something more productive.

May 03, 2009 04:04 PM
Rainer
43,117
Dustin Oldfather
Delaware Ocean & Water Front Homes
Ocean Atlantic Sotheby's International Realty

Let's lift each other up instead of tearing each other down...best of luck to you!

May 03, 2009 04:36 PM
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Rainmaker
318,916

BILL CHERRY

William S. Cherry & No Co., Wealth Coach
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