There has always been a school of thought among some sellers that they should always price their home on the high end because “You can always come down but you can’t go up”. I have heard that said many a time. The problem with the theory of that pricing strategy is it can cost you precious time and YES it will cost you money also. So, let’s take a look at how important the correct pricing of your home is.
By pricing too high the serious buyers, (the ones actively looking at homes on the market and waiting for new listings to come on the market) will see the house within the first two weeks of your listing the property for sale. Once they have seen it, they have tagged it overpriced in their mind and do not typically come back to it. They move on and find a house priced within the market to buy. You are now put in the position of having to wait for new consumers to come into the marketplace.
Once you decide to price your home within the market, you may have another problem. The new buyers coming into the market may look at the history before they ever see your home and wonder why you had to drop the price. They may begin to wonder if something is wrong with the house.
Think of it this way: You go into a store and there are two identical items side by side on the shelf. They are the same price, but the blister pack on one is really dusty and someone wrinkled the package. Which one will you buy? A house that has been on the market a long time in a good market is kind of like that dusty blister pack. There may not be a thing wrong with it, but it has stayed on the shelf and has gotten “stale”. The public then begins to perceive there is something wrong with your house.
EXAMPLE: Which box is a buyer most likely to buy?
National studies have shown if a person over prices their property more than 10% out of the market range where it should have been priced, they will receive less for the home than they should have and will take longer to sell. The cost is not just money, it is time also.
Call me to help set the price on your home. After all you do want it priced IN the market and not just ON the market, right