New Gimmick: Home 'Clearance' Sale

It's a common technique to lure buyers into department stores, so why not try it in real estate? Coldwell Banker of Southeast Florida is hyping its own version of a doorbuster sale, with homes available at discount prices for a limited time starting June 1.

To participate, sellers with homes listed at $750,000 or below must reduce their asking price by 10 percent; those with more expensive homes can start with 5 percent cuts. No short-sale deals or bank-owned properties are allowed because administrative obstacles make discounting them tricky. After the sale, prices can be raised again.

Gus Rubio, senior vice president of Coldwell Banker for Southeast Florida, says the firm hopes to get buyers off the fence by offering them the chance to ''buy today at tomorrow's prices.'' Rubio says.

Sellers will benefit from a blitz of advertising by Coldwell – from print, radio and Internet campaigns and press releases targeting local, national and international buyers.

Lenders, home warranty firms and title companies are joining in to offer buyers one-stop shopping as well, Rubio says. As of May 27, 597 sellers had signed up to participate, offering buyers potential discounts of a combined $31.4 million. Rubio says the number of participants are growing daily.

Source: The Miami Herald, Monica Hatcher (05/28/08)