By Wayne Nicholson
NO SUCH THING AS A FREE LUNCH RIGHT??... RIGHT!!!!
Gimmick marketing has been around a long time and all types of products have been hammered. Now its real estate’s turn. Perhaps the boldest attempt at insulting our intelligence is NO SALE NO CHARGE. The purveyors of this type of marketing will have you believe that they are really nice people who are happy to pay for YOUR MARKETING, if they don’t sell YOUR HOUSE. Really???? That’s very generous of them!! If you think that these people are doing this for YOUR BENEFIT then you might as well start believing in fairies at the bottom of the garden. Here is an actual example of what I am talking about and we have multiple examples of this very occurrence. A seller in Hermit Park called us to appraise their home for sale. They had previously spoken to a NO SALE NO CHARGE agent and were given an appraisal figure of $400, 000 -$450,000. We listed the property for sale at $520,000 and sold it 10 days later for $510,000, so if that seller had of fell for the gimmick, it would have cost them $60,000-$100,000. In another example a house in the very same street was appraised by the same NO SALE NO CHARGE agent for $300,000. We listed it for $380,000 and sold it 6 weeks later for $357,000. Again the sellers were $57,000 better off. It makes sense to me that if I was paying for someone’s marketing that I don’t even know, I will make certain that I list the property at a price that is guaranteed to sell quickly and not for a strategic fair market price. A sale at any price is what I would want because I would want to recoup my advertising that I have spent on your property. Makes sense???? You bet your bottom dollar it does. People who know a lot more about marketing than I do tell me that when selling a home you should look at around 1% of your home’s value should be invested in the marketing of your home. With the advent of the internet these days perhaps .75% is enough. You have a $350,000 property for sale….look at investing around $2,600 in your marketing and a professional real estate agent will build you a comprehensive internet marketing programme that works for that money.
Moral of the story???
NO SUCH THING AS A FREE LUNCH!!!!!!
By Wayne P. Nicholson