We’ve all been there before — we take on a listing with a glaring issue. We know from the outset overcoming this obstacle will be the key to selling the property. So, how do we get past a feature negatively impacting the property without tanking the price? Enter the Principle of Sacrifice.
This is a prime opportunity to show off our value as real estate agents. Beating the odds and presenting a property in a positive light despite an obvious negative is an art form rarely discussed in the real estate field. And yet, we see it all the time when selling premier properties.
And no, we don’t post things like “boasting granite countertops” to distract from a small kitchen or “great entertaining space” so folks ignore the oddly-shaped master bedroom. Rather, we implement the “Principle of Sacrifice”.
What is the Principle of Sacrifice?
Glad you asked! The Principle of Sacrifice is a marketing concept where instead of trying to “hide” negative features through clever verbiage or ignoring the problem entirely, you address the issue head on.
There are many benefits to presenting a property this way, first and foremost hiding things never works out in the long run. Setting clear and accurate expectations for ready, willing, and able buyers is our primary function when listing a home. All we are doing is setting people up for disappointment if we fail to do so. Let’s look at some ways this can be put into action.
Case Study #1: Lakeshore Home with Steep Approach to Water
A property is being brought to market on a popular lake in Maple Grove. The meeting with the sellers is complete, the home is updated and well-maintained, and desired list price is reasonable. The last item to discuss? How to market the property.
The property, for all its advantages, requires a cart to get down to the shore. For some folks, this absolutely excludes it from consideration. The sellers, of course, want the maximum amount of exposure of their home to find the right buyer. How do we bridge the gap?
Instead of avoiding the drop-off and tram entirely in the listing, the best approach is to highlight the benefits that ONLY come with a property with this steep of a drop — the views. These properties often trade lakeshore accessibility for breathtaking panoramic sightlines. And hopefully, the home is designed to capture these views at every possible angle.
For some folks, this is the perfect type of lake home. They don’t have young kids scrambling to the shore or a desire to be on the lake every day. They want the lakeshore for the incredible peace it brings looking out over the water while enjoying their favorite warm beverage from the living room, a wall of glass presenting a picture more beautiful than any piece of art.
Don’t focus on the negatives of a property. Instead, highlight its strengths and find the buyers who are looking for exactly what your sellers are offering.
Case Study #2: Architectural Restrictions in New Neighborhood
A neighborhood is being developed on the outskirts of town. Offering acreage home sites and rolling hills to their future residents, the community is unique in their market. The builders of the community have determined an all-in price range for customers. They are getting ready to move to market.
A potential buyer inquires about the property. He has been in the market for some time seeking the “perfect fit” for his new home. Upon speaking with the representative of the community, they learn all homes are required to use certain materials and present a specific architectural style. Moreover, while pole sheds and detached garages are allowed, they must share the same aesthetic appearance as the primary residence.
This particular buyer opts out of the community due to the restrictive covenants in place and continues their search elsewhere. The representative feels disappointed. This has happened many times since the inception of the community. How can anything be sold when there are so many rules and restrictions in place?
There is one especially significant benefit to communities with rules like this: their home values are protected, as there won’t be any significant alterations or “standouts” to pull property values down. Additionally, some folks really like the idea of a community with a uniform appearance. Liberty Village in Stillwater is an excellent example of this, where they combined a New England aesthetic appeal with community amenities to create a lifestyle unique to their pocket of the town.
Utilizing the Principle of Sacrifice
Two different examples, each offering perspective on turning a potentially negative feature into the reason someone buys a home. The key is to lean into those details and not shy away from them. Hiding an integral aspect of the home will only disappoint the buyers coming through, which leads to frustrated sellers. The way we bring a home to market is the most important piece of the entire marketing cycle. It is on us to ensure it’s done properly.
