Real Estate Delistings and Discounts Strategy

This document outlines a proactive strategy for handling property delistings and implementing calculated discounts to optimize sales performance and maintain a competitive edge in the real estate market.

Delisting Policy and Review

A systematic review process must be established for properties that have been on the market for an extended period without sufficient interest or offers.

Delisting Triggers

Properties should be flagged for review based on clear, measurable criteria.

• Time on Market (TOM): Review all listings that exceed a benchmark TOM, such as 90 or 120 days.
• Showings Decline: A significant drop in weekly showing requests over a 30-day period.
• No Offers: The property has received no offers within the first 60 days of listing.
• Market Shift: An external market factor (e.g., interest rate hike, new competitive inventory) is impacting sales.

Delisting Action Plan

For flagged properties, a mandatory meeting must be held with the client and listing agent to discuss the next steps.

1. Price Adjustment: Implement an immediate, significant price reduction based on current Comparative Market Analysis (CMA).
2. Marketing Refresh: Update photos, virtual tours, and listing descriptions. Consider professional staging.
3. Client Feedback: Discuss client motivation and expectations.
4. Delist and Re-list: If the price adjustment and marketing refresh fail after 30 days, the property should be delisted and potentially re-listed on a future Date with a new strategy.

Discount Implementation Strategy

Discounts should be utilized strategically to generate buyer interest and close sales, not simply as a reaction to stagnation.

Tiered Discount Structure

We recommend a tiered approach to price reductions, ensuring each tier provides a meaningful incentive to buyers.

Tier	Timeframe from Last Reduction	Recommended Discount (of Original Price)	Purpose
Tier 1	30 days	3% - 5%	Test the market and attract initial buyers
Tier 2	60 days	5% - 8%	Signal seller motivation and broaden buyer pool
Tier 3	90 days	8% - 12%	Target aggressive offers and close the listing

Non-Price Incentives

In addition to direct price discounts, agents should explore offering non-price-related incentives to add perceived value without a significant price cut.

• Closing Cost Contribution: Offer to cover a percentage of the buyer's closing costs.
• Home Warranty: Provide a one-year home warranty policy.
• Buy-Down: Offer to pay points to temporarily buy down the buyer's mortgage interest rate.