The Danger of Overpricing your Home
A home sale isn’t like a garage sale, where sellers and buyers haggle over price. In fact, it is the price of the home that determines whether any particular buyer will even take the time to view it. Price it too high compared to similar homes and few buyers will show up, meaning you won’t have anyone to haggle with.
Can you guess what the number one criterion is that a buyer’s real estate agent uses to search for homes on the MLS? That’s right; most of them search by price. What happens then when you overprice your three-bedroom, two-bathroom home is that it will come up in the searches of agents looking for four bedroom three bath homes or other homes that are far nicer, newer, larger and with more amenities.
Your house will stick out like the proverbial sore thumb and the chances are good that you will get few people viewing it. In fact, you’ll be lucky to get “drive-bys” only.
The home then sits on the market until you decide it’s time to get realistic about the price. Unfortunately, it may be too late by then. Other agents and homebuyers are suspicious about homes that languish on the market and yours may become stigmatized.
Put yourself in a buyer’s or agent’s shoes. When searching for homes, what if the same home keeps coming up over the course of a month or two? You’d become suspicious. You might wonder what’s wrong with the house since no-one seems interested in buying it.
The first two weeks a home is on the market when your home will be the most popular and receive the most traffic. If it’s overpriced, not only will viewings be limited, but you’ll lose the most valuable marketing period. And, no, you will never be able to duplicate this honeymoon period, even if you the price down the line.
Unless the market is red-hot for sellers and multiple offers are the norm, work with your agent to determine the home’s value and price it right.
3 Things that can Negatively Impact your Home
3 Tips for Selling your home in a Down Market
3 Tips to Combat a Low Appraisal
3 Unique Aspects of the Luxury Home Sale
3 Ways to Keep a Low Appraisal from Derailing the Deal
4 Characteristics of a Seller
4 DIY Home Staging Tips
4 Steps to Pricing your Home
4 Important Forms in the Home Sale Process
5 Must Do Repairs
6 Tips for Selling your Home in Winter
Buy First or Sell First? 3 Things to Consider
Downsizing: It is not just for Retirees
Energy Efficient Windows can Help you Sell your Home
Getting the House Ready for the Market (Part 1)
Getting the House Ready for the Market (Part 2)
Getting the House Ready for the Market (Part 3)
Getting the House Ready for the Market (Part 4)
How to Attract an Affluent Buyer
How to Hire a Listing Agent
How to Sell and Buy a House at the Same Time
How to Treat the Lowball Offer
Inexpensive DIY Staging Tips
Protecting Your Privacy
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