{"id":243708,"date":"2025-05-15T21:46:05","date_gmt":"2025-05-15T21:46:05","guid":{"rendered":"https:\/\/peraltafinancing.com\/business\/real-estate\/maximum-exposure-is-essential-in-todays-market\/"},"modified":"2025-05-15T21:46:05","modified_gmt":"2025-05-15T21:46:05","slug":"maximum-exposure-is-essential-in-todays-market","status":"publish","type":"post","link":"https:\/\/fivemor.com\/?p=243708","title":{"rendered":"Maximum Exposure Is Essential In Today’s Market!"},"content":{"rendered":"


\n<\/p>\n

\n

Sooooo\u2026\u2026.any plans for the long weekend?<\/p>\n

Not me!<\/p>\n

I mean, I\u00a0do<\/em> have plans, but when people ask about \u201clong weekend plans,\u201d they\u2019re typically insinuating that these plans are taking place\u00a0outside<\/em> of the city.<\/p>\n

Everybody has a cottage up north, right?\u00a0 Or at least knows somebody who does.<\/p>\n

Personally, I love being in the city over long weekends because of how quiet things are.<\/p>\n

I love our city.\u00a0 Er, I mean, most of the time.\u00a0 But I constantly have to share it with everybody else!\u00a0 So over a long weekend when it feels like 75% of the population has vacated the GTA, I can\u2019t help but feel like the city is a little \u201cmore mine.\u201d<\/p>\n

There are fewer cars on the roads.\u00a0 The downtown core is barren.\u00a0 The grocery stores and many of the local restaurants are empty.\u00a0 It\u2019s just a bit more\u2026\u2026..convenient.<\/em><\/p>\n

Truth be told, I have two appointments here in the office on Monday but that\u2019s just the nature of the beast.\u00a0 I\u2019ll spend time with the family on Saturday and Sunday, probably do 1-2 appointments therein, but experience more time away from work than I have on any weekend prior so far this year.<\/p>\n

Now, with\u00a0that<\/em> in mind, let me ask a question:<\/p>\n

\n

Why would anybody list a property for sale\u00a0before<\/em> a long weekend?<\/p>\n<\/blockquote>\n

We just talked about how so many people in Toronto leave the city over long weekend, and Victoria Day long weekend (if not Canada Day\u2026) is probably the number-one long weekend of the year in our city.\u00a0 So why in the world would a prospective home seller list their home on, say, the\u00a0Friday\u00a0<\/em>before the long weekend?<\/p>\n

My question is rhetorical.\u00a0 I think.<\/p>\n

If I were to wrack my brain trying to think of a reason, the only one that would come to mind is a seller who says, \u201cI know that most people are away for the long weekend, but I also know that everybody\u00a0else<\/em> waits to list.\u00a0 So I\u2019ll list when there\u2019s no competition and that will be my advantage.\u201d<\/p>\n

Right.<\/p>\n

Except, well, I don\u2019t agree\u2026<\/p>\n

There\u2019s a reason that gas station owners will\u00a0target\u00a0<\/em>a major intersection that already has one, two, or three gas stations in place.\u00a0 You might\u00a0think<\/em> that building a gas station up the road away from the competition would make the most sense, but\u00a0game theory,\u00a0<\/em>rooted in the concept of the Nash Equilibrium, suggests that there\u2019s more mutual benefit if the gas stations are right next to each other and compete for a much larger piece of the pie.<\/p>\n

I learned about this on the very first day of economics in university in September of 1998.\u00a0 It blew my mind.\u00a0 What a simple concept \u2013 but one that I never would have thought of on my own.<\/p>\n

The author of, \u201cThe Joy Of Game Theory: An Introduction To Strategic Thinking,\u201d Presh Talwalkar, authored a blog post on this topic way back in 2008:<\/p>\n

\u201cHotelling\u2019s Game, Or Why Gas Stations Have Competitor\u2019s Nearby\u201d<\/a><\/p>\n

It\u2019s a fascinating read and he offers the mathematics behind it, but all you need to know is that, in many cases, competition is a\u00a0good<\/em> thing.<\/p>\n

When it comes to real estate, this can be very true or very and often catastrophically close.<\/p>\n

If your 3-bedroom, 2-bathroom semi-detached home was for sale and you set an offer date for Tuesday night at 6:00pm, but there were\u00a0nine<\/em> other 3-bedroom, 2-bathroom semi-detached properties\u00a0also<\/em> reviewing offers at 6:00pm on Tuesday night, then obviously the competition would be detrimental.<\/p>\n

But if you were to list your home for sale when 50% of the buyer pool was not paying attention and, say, competition was down 75%, do you think you\u2019d come out ahead?<\/p>\n

I don\u2019t.<\/p>\n

In fact, I think that listing a property (assuming sought-after in a seller\u2019s market, at best, or balanced market, at worst) is a recipe for disaster.<\/p>\n

If you want to list a 1-bed, 1-bath condo in Liberty Village tomorrow, be my guest!\u00a0 I still wouldn\u2019t do it, but it\u2019s not the same recipe as listing that Victorian in Trinity Bellwoods.<\/p>\n

Simply put,\u00a0exposure<\/em> is essential in this market or any other.\u00a0 Yet time and time again, we see examples of sellers and\/or listing agents failing to maximize exposure.<\/p>\n

Listing a property for sale before a long weekend is just\u00a0one<\/em> way this happens.<\/p>\n

Here are a few others\u2026<\/p>\n

\u2013<\/p>\n

Delaying the commencement of showings.<\/h3>\n

Listing a property for sale on Monday and noting on the MLS listing, \u201cShowings begin on Thursday, May 22nd\u201d is not going to help gain maximum exposure.<\/p>\n

You might argue, \u201cAny buyer that wants to see that property is\u00a0going\u00a0<\/em>to see that property!\u201d<\/p>\n

But what if you\u2019re in a market where two, three, or ten listings of interest graze past every buyer\u2019s eyes every day?\u00a0 Maybe a buyer wants to see the new listing when it hits on Monday, but loses interest or is distracted by the time showings commence on Thursday.<\/p>\n

TRREB rules prohibit this practice but it doesn\u2019t mean that\u00a0all\u00a0<\/em>agents abide by it.\u00a0 Listings are supposed to be available to view within twenty-four hours of being listed.<\/p>\n

It\u2019s quite simple: list on a day, allow showings to commence that day.<\/p>\n

\u2013<\/p>\n

Showings on tenanted properties.<\/h3>\n

Here\u2019s where the control is taken out of the hands of the listing agent and the property owner.<\/p>\n

By law, the landlord\/owner must provide twenty-four hours\u2019 notice to the tenant for any visit to the property, whether it\u2019s an inspection by the landlord or a \u201cshowing\u201d by a real estate agent when the property is listed for sale.<\/p>\n

As we know, tenancy in Ontario is very tricky.\u00a0 Very\u2026.touchy<\/em>.<\/p>\n

Tenants can and\u00a0do<\/em> refuse showings all the time.<\/p>\n

We have spent the last several years discussing how to sell tenanted properties and my best advice has always been, \u201cGet rid of the tenants!\u201d<\/p>\n

In today\u2019s world, that means \u201cincentivizing\u201d them, which means buying them off.<\/p>\n

But if you\u00a0do<\/em> list a tenanted property, ensure that your listing and pricing strategy reflects the fact that you will not reach anywhere near maximum exposure.<\/p>\n

I\u2019m always amused by the agent who lists a tenanted property for sale \u2013\u00a0with an offer date<\/em>.\u00a0 The offer date strategy necessitates maximum exposure, and where you need 24 hours\u2019 notice, at a minimum, and often must receive confirmation of the scheduled viewing by the tenant to gain access, you\u2019re shooting yourself in the foot by listing a tenanted property with an offer date.<\/p>\n

\u2013<\/p>\n

Restricting showing times for any reason at all.<\/h3>\n

We all have lives, I know.<\/p>\n

And many people work from home these days.\u00a0 Good for them!<\/p>\n

But if\u00a0those<\/em> people want top dollar for their homes, then they need maximum exposure, and that means rolling out the red carpet for buyers.<\/p>\n

Back in February, I went to book a viewing on a west-end house but the showing times were severely restricted.\u00a0 I believe I could only view the house from 7am to 9am or 5pm to 9pm.\u00a0 But my clients worked downtown and were absolutely unable to view the property during the day.<\/p>\n

I called the listing agent and said, \u201cCan I see the property during the day?\u201d<\/p>\n

She said, \u201cSorry, it\u2019s just not possible.\u201d<\/p>\n

I asked, \u201cIs the property tenanted?\u00a0 It doesn\u2019t say that on the listing.<\/p>\n

She replied, \u201cNo, it\u2019s not tenanted.\u00a0 The owner lives there and he leaves in the morning for a workout at the gym, so you could go from 7am to 9am, but then he works from home and he doesn\u2019t want any disruptions during that time.\u00a0 So you could go after work hours, assuming he\u2019s not in meetings \u2013 he\u2019ll let us know when you book the viewing.\u201d<\/p>\n

The funny thing is, this property was\u00a0also<\/em> listed with the \u201coffer date\u201d strategy.<\/p>\n

It made zero sense.<\/p>\n

I\u2019m sorry, but I think we can all typecast this seller.\u00a0 It\u2019s not like he was a child psychologist and he had patients at the house who required the utmost confidentiality, but rather he\u2019s likely in finance, law, accounting, or another professional field but he just doesn\u2019t understand the supply-and-demand equation in the market.<\/p>\n

When it comes to \u201cpeople who have children,\u201d I get it.\u00a0 I do!\u00a0 But when I listed my home for sale in 2018, I moved to my mother\u2019s for two full weeks to allow unfettered access to the property at all hours.\u00a0 When sellers are living at the property when it\u2019s for sale and they say, \u201cI don\u2019t want any showings past 5:00pm because we do dinner, bath, books, and bed,\u201d I ask them in return, \u201cHow many prospective buyers do you think we\u2019ll be turning away after 5:00pm every day?\u201d<\/p>\n

It\u2019s an honest question, and one that every seller needs to ask him or herself\u2026<\/p>\n

\u2013<\/p>\n

\u201cSeller\/Agent to confirm showings.\u201d<\/h3>\n

This is somewhat nuanced and you wouldn\u2019t understand unless you\u2019re in the business.<\/p>\n

We have an appointment system called BrokerBay that 99% of brokerages use (don\u2019t get me started on those who don\u2019t\u2026).<\/p>\n

When a listing is entered into the system, you\u2019ll check one of two boxes with respect to showings:<\/p>\n

    \n
  1. Auto-confirm.<\/li>\n
  2. Agent to confirm.<\/li>\n<\/ol>\n

    If an agent books a showing and option #1 is selected, then that agent will receive an email confirmation\u00a0immediately.<\/em><\/p>\n

    If option #2 is selected, then the listing agent has to confirm appointments\u00a0by hand<\/em>, and that, of course, opens is up to human error and inconsistencies.<\/p>\n

    There\u00a0are\u00a0<\/em>times when this is necessary.<\/p>\n

    If the sellers are elderly and the listing agent needs to ask them, \u201cDoes this appointment time work for you?\u201d then of course the viewings should be vetted and confirmed.<\/p>\n

    But there are all kinds of\u00a0vacant<\/em> properties in the city where, for some odd reason, the listing agent has to confirm appointments before the confirmation email is sent to buyer agents.\u00a0 There\u2019s nothing more frustrating than booking a viewing for\u00a0tonight<\/em> and simply never hearing back from the listing agent with a confirmation \u2013 especially when the property is empty!<\/p>\n

    There are a lot of part-time agents in this business and many others who simply don\u2019t live and die on their phones and computers.\u00a0 If a client emails me at 4:30pm and asks to see a property tonight at 6:00pm, but the listing agent isn\u2019t checking his phone and doesn\u2019t see the showing request until tomorrow morning, then that will cost the seller potential\u00a0exposure<\/em>.<\/p>\n

    \u2013<\/p>\n

    \u201cNo double-bookings\u201d<\/h3>\n

    Remember the COVID-19 pandemic?<\/p>\n

    Five years already, wow!<\/p>\n

    Well, if you were looking for a house or condo in 2020, you\u2019ll recall that in the spirit of minimizing human interaction, buyers were not permitted to enter a property listing when\u00a0other\u00a0<\/em>buyers were present.<\/p>\n

    This was referred to as the era of \u201cno double bookings.\u201d<\/p>\n

    At the time it made sense.\u00a0 Maybe.<\/p>\n

    History will question whether or not the plastic divider in the golf cart was necessary to \u201chelp stop the spread of COVID\u201d when those two golfers drove to the damn course together in the first place, but I digress.<\/p>\n

    In any event, once COVID was over, we saw a\u00a0lot<\/em> of sellers and listing agents who stuck by the \u201cno double-bookings\u201d rule and in a busy market, it can have a huge impact!<\/p>\n

    Remember looking for a home in 2013?\u00a0 Or 2018?<\/p>\n

    Surely you showed up to the house at 6:00pm and there were\u00a0three<\/em> other couples there with their agents.\u00a0 Thankfully, you knew how to be civil, and you were able to walk through the house independently without gouging eachother\u2019s eyes out.<\/p>\n

    I would like to think that, in 2025, we can return to this system.<\/p>\n

    I have absolutely no idea why anybody in this city lists a\u00a0freehold<\/em> property and doesn\u2019t allow double-bookings.\u00a0 For a popular property, you can see how \u201cshowing slots\u201d can book up quickly from 5pm to 9pm, and how some buyers might not be able to get an appointment.<\/p>\n

    Condos is another story.\u00a0 The last thing I want is an agent showing up at 5:00pm, taking the key, heading up to the unit, then doing a tour of the underground parking garage while\u00a0another<\/em> agent is there are 5:02pm to find the lockbox empty.<\/p>\n

    But for freehold homes, unless the property is a luxury home where you only expect 2-3 showings per week, and where that buyer wants privacy to view the home, I don\u2019t see any reason to prohibit double-bookings.\u00a0 Yes, that sounded snotty.\u00a0 But it doesn\u2019t make it untrue.<\/p>\n

    \u2013<\/p>\n

    \u201cListing agent to be present for all viewings.\u201d<\/h3>\n

    Last, but not least, we have the ever-popular \u201cagent to be present.<\/p>\n

    I hate this.<\/p>\n

    So, so, so very much\u2026<\/p>\n

    There are jurisdictions in the world where the listing agent is present at\u00a0every\u00a0<\/em>showing, and are other places where you can walk in off the street and ask to see a home, and somebody with his feet up on the desk will simply throw you the key to the front door!<\/p>\n

    But here in Toronto, I would say that 99.9% of properties (not an exaggeration) have key access, and maybe one in a thousand requires the listing agent to be present.<\/p>\n

    But\u00a0why<\/em> must the listing agent be present?<\/p>\n

    Is it because the listing agent wants to give a massive sales pitch?\u00a0 That\u2019s quite common!<\/p>\n

    Sometimes, it\u2019s just a seller who has fears, irrational or otherwise.<\/p>\n

    I recall a time I pitched on a listing down at Palace Pier and the owner said, \u201cI want you here for every showing.\u201d<\/p>\n

    I told her that there were three reasons why this wouldn\u2019t work:<\/p>\n

      \n
    1. I would have to coordinate three people\u2019s schedules: mine, the buyer, and the buyer agent.<\/li>\n
    2. Buyers do\u00a0not<\/em> want the listing agent present.<\/li>\n
    3. I didn\u2019t want to.<\/li>\n<\/ol>\n

      I was honest about the last reason.\u00a0 The seller said, \u201cI would expect you to basically camp out in the lobby for the next month if it meant you were getting paid on this.\u201d<\/p>\n

      The meeting was quicker than expected.<\/p>\n

      But the seller had absolutely no reason for wanting me to be there for showings.\u00a0 The unit was vacant \u2013 this was her mother\u2019s place.\u00a0 Maybe she was emotional.\u00a0 Maybe she was sentimental.\u00a0 Maybe she just needed an additional layer of comfort.\u00a0 Maybe it was something else!<\/p>\n

      Bottom line: buyers hate when the listing agent is present.\u00a0 They spend far less time in the property and often feel the urge to rush out.<\/p>\n

      More importantly, this does not help to\u00a0maximize exposure<\/em>.\u00a0 Not even close.<\/p>\n

      Imagine booking a viewing at 3:00pm today for 6:30pm tonight and the listing agent calls and says, \u201cHey, I have to be there for all viewings; can you come tomorrow at 9:30am?\u201d<\/p>\n

      That\u2019s hardly how you maximize exposure.<\/p>\n

      Couple this with an agent who has to confirm all showings himself and might not live on his phone, or any of the other items listed above, and you can immediately see compounding reasons why exposure is minimized.<\/p>\n

      \u2013<\/p>\n

      In a market like ours, the \u201cfiner details\u201d can be more important than ever.<\/p>\n

      I just spoke to a prospective seller who has his property listed with another agent and I asked the seller, \u201cWhy does the listing say \u2018Offers Reviewed On April 16th?\u2019 when that was a month ago?\u201d<\/p>\n

      The seller said, \u201cHuh?\u201d<\/p>\n

      Like I said: the finer details.<\/p>\n

      And when it comes to maximizing potential\u00a0price<\/em>, I would argue that maximizing potential\u00a0exposure<\/em> comes first and foremost\u2026<\/p>\n