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Don’t Fall Prey to the “Above Average” Fallacy

by Gary Kent / Tuesday, 13 November 2012 / Published in Q&A - Home Selling Questions

Question:

“We’re planning to sell our home in Carlsbad this June. Homes in our neighborhood are going in the 700s, but ours is much better than average, so we expect to at least get in the 800s. Do you think the low 900s would be pushing it?”

Answer:

Before I answer your question, please answer these two questions first…

  • On a scale of 1 to 10, with 5 being average, where would you rate yourself on attractiveness?
  • OK, now how about on intelligence?

Got your numbers?

Did you answer…

…six, seven or eight?

Yes?

If so, then you answered what the vast majority of people answer. Why? Because we all think we’re above average. (I know I am!) Of course, we can’t all be. The math doesn’t work.

Now, before you think I’ve lost my mind or worse, here’s why I brought this up…

You said your home was well above average. And it probably is. But in my 28 years experience, I’ve found that most people also feel their home is, well, above average.

That being said, you’d probably like me to answer your question about the price of your home, right?

Unfortunately, I need more information first. So call me at (858)457-KENT and I can give you a ballpark figure over the phone. If you’re considering selling and want a more accurate figure, I’ll be happy to come and take a look.

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Tagged under: ask gary kent, home valuations, san diego home selling

About Gary Kent

Licensed since 1984, San Diego real estate broker Gary Kent is a recognized authority on real estate. In addition to selling over 5,500 homes for clients, he has been an expert court witness, trainer of other agents, and he does seminars on home buying, home selling, and investing. Gary has sold homes for The Salvation Army, dozens of major banks, and Fannie Mae, amongst others. You can find Gary on Facebook, Instagram and YouTube.

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