Listing Etiquette

by Shawn Lackie

I was going through some new listings, last week, and noticed one which had been there before, was terminated, and now was back on the market, at a new and much more reasonable list price. It got me to thinking, about how frustrating the whole process of listing a house can be, if both the seller and realtor are not on the same page. Hey, in the middle of the pandemic, all the agent needed to do was put a sign on the lawn and declare a date the seller would be looking at offers.

In other words, the word strategy never really came into play. It was all done for both seller and listing agent. The buyers absolutely determined what the house would sell for. Not necessarily what it was worth but what it would sell for. These are two entirely different things.

Then a funny thing happened. Interest rates ballooned and the market slowed down. Buyers went to the sidelines and listings came to an almost standstill. So, all of a sudden, the realtors had to employ some things they hadn’t used in a long while. Namely strategy and negotiation. However, sellers were being stubborn. They wanted to list their home and get the same price the neighbour down the street got a year or so ago. Thinking, 'It's a different market but so what? My house is better than theirs and is worth it.'

I saw one home, close to where I live, get listed, de-listed, re-listed, cancelled, price drop, price hike, hold back offers, change realtor (actually four different realtors), all over the course of two to three years. It was ridiculous. It seemed every week saw a new price/agent/terms.

The thing is, buying agents, who do their jobs and represent the best interests of their buying clients, will do their homework and see all this movement. Which raises a whole bunch of red flags.

Then, there is the stubborn seller, who demands their listing be cancelled and re-listed, to make it “fresh.” Except, they want it re-listed at the same price. Huh? Did I miss something here? Again, the buyer agent will see this and pass along that information to their buyer client. Another red flag.

Then, there is the one which drives all realtors crazy. The client has refused to drop the price and is constantly chasing the market. By that I mean, they are six months to a year behind where the prices are heading. The seller gets frustrated – blames the realtor and either terminates the listing or lets it run out. Then, they find another agent they believe will do a better job. Their the first move here is; you guessed it – they drop the price. The home sells because it now is in line with other listings and the new selling agent gets a pat on the back. The original agent who recommended the price drop in the first place? Not a thing. Not even a thank you.

The bottom line is, in today’s market, there are no definitive answers and anybody who tells you they know exactly what is going on, is full of hot air. What used to take months and even years to change is now morphing in weeks and even days. The market is THAT volatile.

So you have to stay right on top of things. If you are buying and selling in the same market, you will at least be affected by the same factors. Where things go awry is, when you decide to get greedy or refuse to hike what you are willing to pay. Again, that goes back to the art of negotiation. If you like something enough you will work in a good way to make it yours. Being realistic sure helps.