Posted by Kendra on March 06, 2003 at 10:18:26:
When you promise “home to be sold to lowest bidder Sunday night” and you don’t keep that promise you are asking for a lawsuit.
Ever heard of false advertisement?
5 Day Sale Method - Posted by Leo
Posted by Leo on March 06, 2003 at 09:55:11:
Has anyone ever used the 5 Day Sale round-robin method to sell homes? If so, what has been your experience? Ron LeGrand said at a recent seminar that “it was a super way” to sell real estate. He also said that he had sold and not sold some. My concern is what can happen if you get a bid at less than is owed, and also when you advertise that “home to be sold to lowest bidder Sunday night.” How do you overcome these 2 issues? Any help would be appreciated.
Re: 9 Day Sale Method - Posted by Richard Roop (CO)
Posted by Richard Roop (CO) on March 08, 2003 at 18:51:53:
Leo,
I read several books to sell my personal residence quickly when living in Hawaii. One was “How to Sell Your Home in 5 Days” outlining the round robin strategy.
Having a marketing background, I felt 5 days was not long enough and just using signs and a 5 day classified ad was not enough to get the number of people at my house.
I boosted up the marketing with postcards, letters and an “advertorial” in the newspaper. I also ran my ad over 2 weekends… 9 days.
I had 60 people at my open house, and 8 bidding. I sold it for $410,000. My asking price was “$428,000 or highest reasonable offer by Sunday night.” I presented as a house worth $469,000 in my opinion, however, the market had turned and there were no comps over $400,000 in my area.
Note the term “reasonable.” That is your out. In fact, the high bidder was around $392,000 or something like that. I told them it was not reasonable, I would do the auction again… Unless the could come up to $410,000. And they did.
First, do not advertise a price less than what you would be willing to take (I have heard others suggest otherwise). Offer the lowest possible price you can (breakeven?) and then hope the “market” will get it to a fair and profitable level.
In 1994, before I become a real estate investor, I rewrote the round robin strategy in my own book, “How to Sell Your Home in 9 Days” which has since become quite popular with lots of investors, including Ron LegGrand. You’ll find info on it at www.richardroop.com.
Now, as a full time investor since 1996, I have found that I prefer to sell with owner terms for a premium price. So now I use the round robin to bid up purchase deposits and down payments, instead of the price. Very effective in the city, less effective in rural areas. I buy in both.
Keys:
- Don’t let anyone in prior to open house
- Have complete details on house so they can decide fast
- Let anyone make a bid to get into the round robin
- Accept any amount on the bid sheet.
Hope this helps.
Richard Roop
Re: 5 Day Sale Method - Posted by Druss
Posted by Druss on March 06, 2003 at 19:15:01:
Shouldn’t you be selling it to the highest bidder?
Re: 5 Day Sale Method - Posted by David Krulac
Posted by David Krulac on March 06, 2003 at 11:19:47:
I have used it, I like it. I have written about it on this forum before, please check the archives. Also I wrote a book review on Amazon.com please check there also.
David Krulac
Central Pennsylvania