Buyers Aren't The Only Ones Low Balling Offers!

These agents aren't doing anyone any favors -- they're hurting Sellers, the local market, their colleagues and themselves.  What part of pricing it right, don't they understand?

BLiz, great advice from buyers of Any experience. You know what you're doing, and that's what counts!

Bliz ~ good advice.  A. knowledgeable and professional listing agent will always have the proper data to support their list price

This is the second post I've read today on this topic.  Around here, the ones that are underpriced are usually done so in order to generate a multiple offer situation & sell above list price.  Not always - but I've seen it.  I see overpriced homes more than underpriced homes.

Liz & Bill - I think this is why so many sellers pick the agent who gives them the highest list price even if it's way wrong.  The proof is in the pudding and they really need to evaluate the facts and even have their own appraisal done, a person who isn't trying to earn their business.

Warren County sellers are well served by using Liz and Bill Spear.  They certainly won't steer you wrong. 

OMG, this post was awesome...  I just want to underline the whole thing!!!!

Bliz - Our company had a listing campaign that I did not agree with. It was especially that, price it lower than the competition. Create multiple offers.

My fear is if this was agreed to and it did not create multiple offers and one offer came in at that price range it was a false sense of where we really wanted to sell. So I did not adopt that campaign.

I agree with you. I thoroughly chart out the area comps or the FEEL I have. The seller already has their number in mind and we go from there.

I don't lose many listings because of this analysis. However, when the client has priced over my suggest it does not sell even with my reasoning through the process.

Bill & Liz - there is a whole lot of "low balling" going on these days from both sides.  I am  more often than not on the listing side of a deal but I also di sales and try my best to pave the way for a realistic offer whihc hopefully will result in the buyers and sellers meeting somewhere in the middle.  I find that the lower the offer, the less the sellers will come down, thus the potential buyers are missing a chance to get the deal.

We're in a rising price market here so we have been being a bit more agressive on the upside price wise. If we get minimal activity within the first 2 weeks, we probably were too high.

If we get lots of activity but no offers, the buyers are visiting the house and saying...Hmmmm it looked good enough in the photos to come see but now that we are here...we cannot see the value of making an offer. It just requires constant monitoring.

Appraisals have been the constant check factor. You can get an offer above market price BUTTTTTT.....

the appraisers are being conservative and not approving the price.

Hi Liz and Bill,

This is such a dilemma - balancing the price with the time on the market, coupled with everyone looking for the "deal' and being enouraged to offer 15% below asking no matter what.  Sellers should get more than one opinion on price and not be swayed by the agent who only tells them what they want to hear.  It is critical to be well-informed in the current market.

Lisa

When I work with buyers I usually tell them that if the home is priced competitively ther may not be too much room for negotiation but that I will present all offers.Buyers get the wrong message from the media and are looking for deep discounts.