A 21,000 square-foot Toronto mega-mansion fashioned after the Palace of Versailles (40 Park Lane Circle, pictured above), captured local headlines last year for its seeming inability to find a buyer after being listed on MLS and repeated attempts on the auction block.
After crunching the numbers, a study by TheRedPin.com found that luxury homes are far from the only properties susceptible to repeated attempts to sell, as a considerable portion of GTA homesellers relist.
In 2015, amidst the best year on record for the Toronto housing market, about one out of six properties were relisted—removed from MLS and retroactively put back on—at least once before successfully closing.
Akin to turning back the clock on a home sale, relisting serves as a strategic move that allows a property to reset its days on market back to zero and shake off the perception that it’s chronically sitting on the market without a buyer.
By relisting, sellers can also evaluate what went wrong the first time around, and in turn, make adjustments to the asking price, staging, photography, and more.
Price adjustments aside, relisting also grants the appearance of a new home up for sale, grabbing a set of fresh eyes on real estate websites and email alerts, which typically rank properties in order of how recently they were listed.
View the infographic below for a summarized list of all the study’s findings.
According to the study, homesellers didn’t rush to pull the property off the market only to relist it a day or two later. Instead, they waited an average of 30 days to remove a listing off MLS and 25 days to put it back on.
Between the first listing attempt and the second, the asking price took a tumble, dropping an average of 3.3% or $24,000. Whether to make adjustments to a previously inflated asking price or undergo any attempt to entice potential buyers, the change reflects the importance of an accurate price.
After polling TheRedPin’s own roster of agents, 89% said homesellers who are too emotionally invested and overvalue their home for sentimental reasons can be a leading cause of an inevitable relist.
To avoid a relist from happening when you sell your property, our agents recommend ensuring minor home fixes are addressed, that a professional photographer be used, and that the interior of the home be properly decluttered and staged.
Photo credit: Concierge Auctions