Question:
“I’m thinking of selling my condo and I want to get top dollar. So I’m thinking of starting high to see what happens…”
Answer:
Hold on a sec.
Here’s the rule when pricing your home in anything OTHER than a market experiencing rapid appreciation:
“The closer you price your home to market value, the faster it will sell and the more money you’ll get.”
Let me explain…
Early on in my career, I’d price a home wherever my client wanted.
If a home was worth $100,000 (remember, this was 1984!) and he wanted to ask $120,000, I’d say “sure, let’s give it a try, we can always reduce it later if it doesn’t sell.”
Then I started to notice something interesting. When a home is priced too high, it ends up being on the market longer than it should and gets a reputation as a “white elephant.”
Buyers and Realtors wonder what’s wrong with it and avoid the home. Or they start to say things like, “maybe the owner is getting desperate and ready for a low offer.” You certainly don’t want people saying those things about YOUR home, do you?
Ultimately, the home actually sells for LESS than it would have if priced correctly at the beginning.
Homes priced closer sell quicker and for more money. Why? Here’s the formula:
Better pricing >> More showings >> More offers >> Higher price.
Yes, pricing right in the beginning is critical. If you’re thinking of selling your home or other property, call me at (858)457-5368 and I’ll be glad to give you an idea of your home’s value…
