Trace Lofts reduces prices

Last time I talked to Ted, Trace developer, about pricing he was adamant that he was in this for the long haul and that they would not ever lower prices. Imagine my surprise today when they dropped prices on #408 from $495,000 to $475,000 and #509 also from $495,000 to $475,000.

Now I’m not a real estate agent, something Trace’s real estate team reminded me several times when taking them to task over their initial pricing but were I the agent for Trace before lowering prices I would:

#408:

  • Include 6 more photos so they reach the NWMLS max of 15. Why not include a few pictures of the view on a sunny day and a view photo at night?
  • Stage the unit. It’s much cheaper to stage the unit for a year then drop the price $20,000.

#509:

  • Put the interior square footage in the MLS. Yes, they may be afraid of users seeing the $/square foot but by not including a square footage they are being left out of a lot of online searches
  • Update the photos to include actual photos of the unit and the view
  • Stage the unit. It’s much cheaper to stage the unit for a year then drop the price $20,000.

In other Trace news…

Someone pulled the firm alarm in the under construction Trace North last night around 4 AM and it set the alarm in Trace Lofts off for half an hour. Thanks!

That $300,000 unit on the fifth floor (#504) was apparently sold and is now for rent.

BTW, where’s my price guarantee?

About Matt

Matt , Urbnlivn's publisher, has a love for lofts, floating homes and mid-century moderns.

For years Matt resisted becoming a real estate agent preferring to be an executive in the startup world but he recently caved in the spring of 2014 and became an agent.

You can also find Matt on Twitter or skiing.

  • nitsuj

    Interesting listing price history on #408, looks like it went to $475k and back to $495k in the same day, 2/15, prior to this reduction to $475k.

    Question: Does the time on market stat take into consider when pre-sales were happening or just the time it’s been on the MLS?

  • nitsuj

    Interesting listing price history on #408, looks like it went to $475k and back to $495k in the same day, 2/15, prior to this reduction to $475k.

    Question: Does the time on market stat take into consider when pre-sales were happening or just the time it’s been on the MLS?

  • http://twitter.com/mattgoyer mattgoyer

    I saw that too (its great that we added price histories to the details page on Redfin :) ). Cynical Matt wonders if they did that just to have it hit the agent hot sheet.

    Time on market is just how long its been on the MLS but they were pretty quick to put things on the MLS.

  • http://blog.mattgoyer.com Matt

    I saw that too (its great that we added price histories to the details page on Redfin :) ). Cynical Matt wonders if they did that just to have it hit the agent hot sheet.

    Time on market is just how long its been on the MLS but they were pretty quick to put things on the MLS.

  • nitsuj

    Is the holding cost on this just time value of money, plus any sort of special assessments (assumed to be zero on new construction), assuming the developer has sold enough other units to repay their construction loan? Seems like a year on the market is an awful long time, but I guess if you’re holding cost is just time value of money no point in selling for lower and thus harming future sales comps.

  • nitsuj

    Is the holding cost on this just time value of money, plus any sort of special assessments (assumed to be zero on new construction), assuming the developer has sold enough other units to repay their construction loan? Seems like a year on the market is an awful long time, but I guess if you’re holding cost is just time value of money no point in selling for lower and thus harming future sales comps.

  • Barboursm

    who pulls a fire alarm at 3:40 in the morning? Seriously!

  • Barboursm

    who pulls a fire alarm at 3:40 in the morning? Seriously!

  • stone

    I’ve wondered how they would be able to avoid price reductions without any incentives more information, pics, etc. on their listings. They seem a bit out to lunch. However, as I was walking home three white guys in front of Trace, one bald, one tall with a nice head of dark hair and khakis and one who didn’t quite register, but a snippet of the convo “there’s really a 10,000 price difference between floors.” Again, I was like is this what you guys tell each other to sleep at night? Prices are totally about timing and how much (how long) any developer (Ted) can carry the construction cost, plus the idle unit costs.

  • stone

    I’ve wondered how they would be able to avoid price reductions without any incentives more information, pics, etc. on their listings. They seem a bit out to lunch. However, as I was walking home three white guys in front of Trace, one bald, one tall with a nice head of dark hair and khakis and one who didn’t quite register, but a snippet of the convo “there’s really a 10,000 price difference between floors.” Again, I was like is this what you guys tell each other to sleep at night? Prices are totally about timing and how much (how long) any developer (Ted) can carry the construction cost, plus the idle unit costs.