Study Reveals Top 5 Buyer Turn-Offs That Derail Home Sales

A recent study published by Re/Max Canada has identified the top five factors that can significantly deter potential homebuyers, emphasizing the importance of presentation and location. The survey reveals that sellers must be mindful of both external appearances and neighborhood conditions, as these elements can heavily influence buyer decisions even before a showing occurs.

The most prominent turn-off identified in the study is messy neighbors, with 51 percent of respondents indicating it would be a deal-breaker. Following this, lack of curb appeal was a concern for 41 percent of buyers, while 40 percent noted that room sizes appearing smaller than advertised in marketing photos could also dissuade interest. Additionally, 36 percent of buyers expressed that excessive competition from other prospective buyers and 28 percent pointed to locations too close to bars, restaurants, and shops as significant deterrents.

According to Don Kottick, president of Re/Max Canada, this study serves as a vital tool for sellers to gauge the factors influencing both the choice and price of their properties. He urges homeowners to consider the aesthetic aspects of their listings, stating, “This is where a realtor can help you create a better presentation of the product to get that maximum value for your investment.”

Edmonton-based realtor Dave Ozubko adds that homes that fail to show well are typically harder to sell. “Buyers are choosing on price and presentation,” he notes, highlighting that minor fixes, such as a thorough cleaning or a fresh coat of paint, can make a substantial difference.

While many of the issues identified in the study can be addressed with relatively low investment, some deal-breakers are more challenging to rectify. For instance, the presence of messy neighbors is often beyond the seller’s control. Kottick explains that even if a home is comparable to a recently sold property priced at $1 million, the presence of deal-breaking factors can significantly affect its market value.

The study encourages sellers to maintain realistic expectations when listing their properties. Ozubko points out that while cosmetic issues can deter buyers, underlying problems such as aging plumbing or electrical systems can also lead to withdrawals from interested parties. Most buyers today are looking for turnkey homes, making significant improvements necessary to attract multiple bids and maximize sale prices.

Market conditions in Edmonton indicate a shift in buyer behavior. Statistics from the Realtors Association of Edmonton show that new listings increased by 20 percent year-over-year as of July 2023, while resales fell nearly 3 percent. These trends suggest that buyers are becoming increasingly selective in their choices. “Now that the market has calmed down a bit, people are more discerning,” Kottick notes.

In summary, sellers should be aware of the critical factors that can deter potential buyers. By addressing aesthetic concerns and understanding the implications of neighborhood conditions, they can better prepare their homes for the market and potentially avoid common pitfalls that might derail a sale.