June 15, 2007

Wrong Way to Run A Railroad

Or sell a condo in this market.

The Story:
--- Price it high, and then slowly drop the price as the days and weeks go by as the listing gets older and older.

Take note of this unit at 2020 Lofts. True the condo is sleek and handsome. "Corner unit with huge outside terrace from 2nd floor den with views of capitol." Granite and stainless kitchen. Yada Yada. Parking. A couple of blocks to the Metro. Up and coming neighborhood. Sign me up.

Asking price: $799k. Whoa. And that's after three price drops. It started at $889k in February.

View from the Bubble:
--- It's almost been on the market six months. What's the point? The listing is so old and buried in the MLS the only people who will see it are ones trolling for price drops. I bet if the agent started at $750k in March it would have been bid up to close to their ask by April Fool's Day.
--- Remember the mantra: In a slowing market you must price it right to succeed.

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