I love this!
When you are having trouble selling a house in a unique market, think outside of the box. That is what Lani Belisle and her seller in Fort Myers, Florida are doing. They have a $7 million dollar listing that is not moving, so they created a $1 Million dollar coupon to be applied to the price of the home. And it even has an expiration date, July 31st, 2009.
Outside of the box marketing is how you get attention. These folks have done a great job with it.
About 5 years ago, in the middle of the real estate boom, they began construction. The Riccianis designed the home to be a $10 million family estate. It took more than three years to build with all the custom features they selected.
Then their plans changed, and they decided to sell the home. Unfortunately, the housing market in Florida was still adjusting downward, so they asked their Realtor to offer it for sale on the MLS for $7 million.
After trying to sell the home for a while the traditional way, the Riccianis thought it was time to try something more “out of the box,” so they worked with their Realtor to create an advertisement with a $1 million real estate coupon good toward the purchase of the home. That lowered the price of the home from $7 million to $6 million. The Riccianis are betting most people have never seen a coupon for $1 million. via PRWeb.
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Very interesting marketing tactic. I appreciate the unique idea. I have never heard of a million dollar coupon before.
Great tactic! It looks like it is generating the media response that is always hoped for!
I thought so too, Al. But I could see this working well on a local basis and getting some media if you play it right. Offer a 20,000 dollar coupon on a 200,000 house? Limited time offer?
It has worked for Madison Avenue all of these years, why not housing.
Interesting concept, but there is a better way. Obviously the property is not worth $7 mil. So there is a better way to do it. Offer the property at Auction for $ 5.5 Mil. And let qualified buyers bid the property up. If it is worth it then they will get more. The auction could be in 30 days and close in 20 days…
The psychology of coming down will only cause more blood in the water. The buyers are going to want more. The people who have millions of $ to buy houses with aren’t real stupid and they didn’t get those millions by buying with coupons. They are now looking for a deal.
Jerry
You are right on a macro level, but what I like is that the seller and their agent have created awareness of the house. Since we all know that buying a home is one part logical and 3 parts emotional, you have to be aware of the house before you will know you want it. That is why this promotion works. Of course buyers will see through the coupon idea, but it allows suckers like me to report it and spread the word. That is the magic of the idea.
That is an awesome idea! I know we are certainly having to become more creative in the challenging market. Good news is things are starting to look up!
The idea is brilliant and I think it follows more advertising than cut down price …and this coupon it is likely to remain in history even if the selling will take some time.
Just wanted to say thanks for your interest in this fun story!
Great method. But not for normal homes…
Fun story, I wonder if someone down there's accepting competitors' coupons?
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