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  • Writer's pictureJared Jones

SELLERS; How To Maximize Equity In A Hot Real Estate Market!


Home sellers today, I'm going to share with you 19 years of experience, it's to five time-tested ways to maximize your equity in a hot seller's market. The buyers out there do not want you to see this video. And you might be thinking yourself, Jared big deal. The market's already hot. My offers are going to be amazing. No matter what, you're wrong, you're wrong. Going into the market, the wrong way you sell your home too fast. You sell your home too slow. There are all kinds of dangers and poor negotiations that render a seller ineffective at getting the most from their home in this market.

Jared Jones had been selling homes for 19 years. Thousands of homes in Las Vegas, hundreds of homes here in central Florida. And I had a question posed to me this week that I want to go over with you. Hey Jared, I need a plan to sell my house. I know the market is hot, but my agent wants to sell my house on the first day. And it makes me think we may not get what we want. What should we do? So this was written to me by an out-of-state owner. And the advice I'm going to give you would work no matter where you are. First of all, we need to have a paradigm shift as to what we want the asking price to do for our home. Think about that for second sellers, focus on asking price from the wrong end. They think of asking price, as I said it, and that's what I make the asking price is actually a function of marketing. Its primary use is to market the home. So you want to think about the asking price from the perspective of a marketer

And as a seller, What are you marketing for buyers? You're actually shopping for buyers. So think about that. How many buyers do you want in a perfect world? You want access to every single potential buyer in the market that is available for your home. And in modern times with real estate marketing has a global presence in the marketplace. So it's much easier for this to be accomplished, but let me give you a factual piece of advice. It is nearly impossible for a home to be exposed to the entire market in one single day. And I have one caveat for that. If there's only one buyer available in the market for your home, then one day is enough to get the job done. If there's only one buyer, that's the size of the market. They make you the offer you want and you're out, then take the offer. But I would venture to say that most buyers,

I would venture to say that most home sellers rather have 10 to 2030 buyers available some hundred. And so there's no way a day. And even two days is going to get that job done. So I would tell you, point number one is to figure out the size of the market for your home, the best you can, and the way you do that, as you take six or six, six, six, or six, Or you take it.

Three or six months of data and you can render down exactly how many homes each month, like yours will sell in a given area. Then you can see the pace of sale are they selling immediately? That means there are probably two or three buyers, at least for every single home. Then, you know, you've got a pretty good idea of how many buyers there really are in the market at a given time. So how do you price your home right in a hot market? Well, many sellers would say, Hey, we've got, well, the market's so hot. I could just throw the price way up high. Uh, some people might, yeah. Or even say let's price it down and get a crazy amount of traffic so that there are people lined up for blocks. As soon as we hit the market, I would tell you don't do either of those two things, price it right on the numbers.

So if you've got a sale in the area, recent price, for instance, it's four 50 go right in the same range as the last house, whenever you've got a properly priced home and there's a lot of buyers, the buyers will do the rest of the work. That means they will take care of moving the property up $20,000. The point I'm making is you want multiple offers. You do not want to be with one single buyer. Why do you want multiple offers? Number one, you want to make sure the entire market has seen it. I liken it to having a lineup where imagine that you could invite every potential buyer over to your house. They all stand out front. They wait for you to open the door and they all see it. And one of them is going to want to buy the house at a price higher than everybody else.

You want to find that one person and the best way to do it is to have the entire market. See it. Number two, having a lot of multiple offers. You can leverage a weak buyer to get a strong buyer to pay the price you want. So if you have multiple offers, a lot of times there's going to be a weak buyer. They don't have a lot of buying power. They pay some crazy high irrational price. And why you liked the numbers on their paper. You know that they're probably going to be a challenge to work with just because the financial strength isn't there. Well then, on the other hand, you've got a cash buyer that had cash buyers like to buy houses. I like to come in really low. So then you take this week buyer and say, Hey, Mr. Cash buyer, I've got on offer here.

Would you like to beat it? And they'll say, well, I want the house. So then their rationale goes out the window and you get the really strong financially solid buyer to pay the number you want. You can't do that unless you have a little bit of a mix of everybody at the table. One other key reason you want multiple offers is there's a chance you're going to lose the first buyer. The real estate market's finicky. Things happen. People die, get divorced, have arguments, ceased to become buyers. Sometimes the house disqualifies itself for a potential. Hey, what I wanted to buy this house for? I can't anymore. When you have a property that was under contract right off the bat, then all of a sudden it comes back. It becomes this weird spot where everybody's kinda like, Ooh, what happened? You know, what do we know?

What can we do now? Well, if all the buyers that were at the table, the first time were absolutely heartbroken. They're going to be excited when you call them back and say, Hey, this house is back. And the other thing is too because you've had the entire market in front of you. You don't really have to go back on the market and keep showing it. They're already there. You pick up the phone, you get the next buyer and you proceed from there. But one of the major things that I see people do major mistakes is this thing of pricing. And if pricing has done poorly, where you really Jack it up there, you have this prime time period where everybody's going to come to the fight and you want there to be an air of irrationality. Here's what I mean. When a home hits the market, there's an initial risk for everybody involved. Think about that as a seller, you sit there and you think to yourself, well, cool. What? Fresher? I wish my house. I own a Gawker. You know what? If we learned to pray, maybe it was a million, maybe a million, three. I don't know. Uh, why should I probably forget? And then as a buyer, the buyers like this 10 for that, What are you usually?

I need to hush real bad. I don't know. What is the selling for? Ooh, this looks good. It's about overpaying. I don't know. It's just that the market, I can validate it because it hasn't been on the market for a while. Oh, he can negotiate. I have to go through. Hi. Can I accept that? I just have, it was weird, the point is the buyer doesn't have this long track record to deal with on the house. So imagine how it's been sitting there for three months. The buyer's going to say what's wrong with it. I should think really long and hard about buying this house. Maybe I should negotiate. Maybe I should barter. Maybe I should go low. If the house just sits on the market, there's a massive strength of the market for a property where a massive amount of rationality goes out the window where people aren't sitting there noodling.

You wonder why nobody likes this house and it must be something wrong with it. I bet there's a sinkhole nearby in 1943. Ooh. I wonder if grandma died there. Oh, it happened. I wonder, Oh, is there a flood? I bet they're skaters with machine guns in the basement. There's no basement. You say, but I bet there's Gators or flamingos. Stupid Gators with flamingos machine guns. How'd I got that? I don't know. You get the idea. The buyer doesn't have time to think about it in a fast-paced, multiple-offer situation. They got to come in guns blazing. They can't, they can't get stuck on the small things. They have to forgo the process of making the sale arduous on you. And they have to throw themselves into it. The analogy is this. You want to think of your home like a filet minion amongst rabid dogs.

Okay. Now pricing does one of two things in this scenario. You have this filet, you throw it down in front of rabid dogs. If it's priced right? The dogs go, Ooh, ah, and the attack, theme. Now you could have the same filet priced poorly in the marketplace and you're thrown down and the dogs sit back and they say, Hey, chef Gloria. I wonder what's wrong with that for we don't take explanations long enough. Well, I think we should probably pay half what they are asking for that flyer. Oh, we have to be careful. Let's give it a few more days to think about it. Would you like to sleep on it? Yes. Troubled boy, or sleep on it. You want the market to move your way. You want them to stay on your heels from day one and it never lets up because it gets you through the negotiation from a place of strength.

It gets you through the inspections from a place of the buyer's going to back off Nicklin and diamond. You're behind and lets the sale go through smoothly. You want it from day one. Now to have all this happen, it doesn't happen in 24 hours. How would you approach the market? That's what I'm going to answer next because this is the magical mystery to the whole idea, right? Cause you gotta understand. Market surveys have constantly told us that 65% of people shop for homes on the weekends, 60 to 70%, you're talking six or seven out of 10 buyers. Aren't even going to put on a plan to come to see your house until then. So what I do not like to do is start a listing. That's going to be a good one. High demand, right price. I don't like starting on Monday and Tuesday because what happens is someone's going to strike early. They're going to come on Tuesday and then I've got to get all the way to the weekend. And I got to have that person going like a baby.

Here's my offer. Going to be accepted in the lab. We're going to be accepted. Okay? And I'm like, no, no, no, no. I want to go all the way through the weekend. I need that 65% push. And I appreciate that they were there first. And I honor, I want to honor it, but my sellers should not respond to the Tuesday baby bird. They should just go all the way through the weekend and let the stampede take place and then see where we are. So go ahead and avoid that by putting the house on the market on a Wednesday, Thursday morning, ish at the latest, let it run all the way through Sunday, and then let's have a battle. So the battle ensues. So what happens then? Well, you get offers on Friday. You get offers on Saturday and you're telling everybody I've got offers already. Make them good ones and you don't answer anybody. You tell them, look, the seller's not gonna review the offers until Sunday evening.

The Sunday evening comes. You have all these offers. You appeal to the top power buyers. You know, these are the guys that didn't ask you for a lot of hassles. They got a lot of cash in their pockets. They don't have arduous loan terms. You want to take those deals and look at the buyer power and you want to look at who's the highest and what's the deal with their particular offers. And then you want to find a blend. You want to see if you can't get a strong buyer to pay the best price. And that's if you're just looking at it at face value, I mean, some of you, you're going to get offers with beautiful little love letters from the buyers. And that's going to have long heart-rendering stories. And it's going to say, Me and John were looking for a home forever and this is the home that we'd like to have three children, 17 grandchildren, 18 puppies, and like to die here because this is where we were called to be like, Ooh, that was a good story. You guys should sell But they're 15,000 below the lead offer. You can die there. If you bring the numbers up, you might say, these folks the home, That's what I'd say. That's what you do. Try to see if you can get them there so they can have 18 copies, 70 grandchildren, and your home. That'd be fantastic. But you get the idea. You have the power of choice.

Your agent can also hear eagerness, which buyer's going to come through, which buyer's not going to give you a hard time, which buyer is not going to, especially if you have a house that has little secrets, right? We all have houses with little secrets, right? So you have those pretty good homes. You want an easy transaction. You wanna make sure you find the right buyer. Who's not going to be massive. Like I am sure like homie's a buyer and I'm going to turn these patients. I down didn't depression period.

Please like the video, share it with somebody who needs it. Who's out there looking for a house and getting beat senseless and like subscribe to the channel, hit the bell icon. So you're getting updates. We'll talk to you guys real soon.


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