When to consider a lower offer on your home

One of the greatest challenges when selling your home may be determining when it's best to compromise on price. When you know how much time, thought, money and sweat equity have gone into your home, it can be hard to let go of the price tag you have in mind.

Recently, many American sellers have avoided that issue; in fact, only 31 percent of all home buyers in the past five years secured their new homes for less than the asking prices, according to Nerdwallet. However, analysts believe that may change as we transition into more of a buyers' market.

So how do you know when it's time to look seriously at lower offers? Consider these situations.

• Your home has been on the market for months. Homes tend to generate maximum interest within three weeks of their first listings, and potential buyers will start to see red flags if no one else seems interested.

• Your home has limited appeal. Unusual homes that don't appeal to the general public may get fewer offers.

• You're dreading the showing process. Closing early will prevent you from having to keep your home clean and orderly — and evacuate your family — for multiple showings.

• Time is of the essence. Perhaps you need money now, are moving to another city, are juggling two mortgages or need your time and energy for more important endeavors.

• The buyer is offering cash. Cash deals go faster and smoother because lender approval isn't problematic.

• Statistics don't lie. Historic data from sales in your area may indicate you're better off lowering your price tag.