We have talked so much about price, who sets it and if you as an agent can control it.
You can but it needs to be planned and if you are asking your vendor to reduce their price, you need to have the facts and information to fully support your advice.
I saw a sign recently on a piece of land that used to house a garage garage complete with a petrol selling forecourt. This means it has underground tanks. Now, this piece of land is not far from where we live. It has a beautiful view out over the sea as it is quite elevated. It is also a flat site which makes it an ideal building site, and has been on the market for some time.
All of a sudden there was a sticky label put across the sign, saying “PRICE REDUCED”. Oh really!
The agent is somehow suggesting that this property is now a bargain. But the price this property is going to sell for has never altered. So how could the agent say it has now been reduced?
When you see this happening with a listing, you should be aware that here is an agent who is struggling to get a sale together. Here is an agent who does not understand property sales. Here is an agent who does not have the tools to get the price right and get the vendor motivated to agree to that price.
To be fair to the vendor if the price is below what they are prepared to accept, they should take the property off the market. Because the sale is not going to happen. This is an opportunity for you to be prepared to step in as soon as the current sole agency agreement expires.
Especially, if you had called in earlier and managed the vendor onto your email list. My sales and marketing system as shown on www.neverchaselistings.com would help with this situation, help you gain the listing and better still the Bulldog database would give you the information to work with the vendor in achieving a price to make the sale.