Market Exposure > Days on Market;
When 1 Week on the Market ≠1 Week on the Market
I’m a big fan of aggressive, pre-list marketing.
One of the easiest (and cheapest!) methods, especially for a home in a high-profile, high-demand location: install the “For Sale” sign early, and attach a “Coming Soon” rider (note: the listing agent should have a signed, “Withhold from MLS” form to do this).
Such a sign is sure to create pre-list buzz — and a flurry of Buyer (and Buyer agent) interest.
Then, when the home officially debuts on the market, there’s likely to be a crowd waiting to see it — and a sense of urgency amongst prospective Buyers.
Fielding LOTS of Sign Calls
The downside of stirring up all that interest?
At least for listing agents screening inquiries, there’s likely to be a disproportionately high ratio of “just curious,” not-so-qualified Buyers.
It’s also the case that a 3-ring circus atmosphere — or a listing agent trolling for their own Buyer** — can repel serious Buyers, who don’t want to chase something in a bidding war, or participate in what feels like a rigged process.
Finally, Sellers should be aware that the better job their agent does generating upfront interest, the less time it takes to determine whether the home is priced right.
In other words: when 20 (or 50!) Buyers have seen the home after just a few days on the market and it hasn’t sold, it’s appropriate to reduce the price immediately vs. in a few weeks.
**Seller Caveat: Dual Agency
One caveat for Sellers whose home is being marketed with a “Coming Soon” sign: it increases the odds of dual agency, i.e., when the listing agent also represents the Buyer.
While legal in Minnesota when both Buyer and Seller consent, it’s hard to see how such an agent can aggressively negotiate for both their clients.
In fact, lawyers (which I used to be) regard such dual representation as a classic conflict of interest.
See, “Perils of Dual Agency: Exhibit A“; Awkward Dual Agent Moment #24“; “Dual Agent” vs. “Double Agent.”
And also, “10 Showings, $10,000“; and “Nurse! I Need a Price Reduction, Stat!!”
