Ii it's interesting to see some of the creative ways that real real estate agents from around the country are pricing their properties, trying to stimulate, in some areas, a rather stagnant merket. One creative pricing method is called ‘Range Pricing', also known as Value Range Marketing, VRM, whose concept was actually initiated about ten or twelve years ago on the West Coast. At that time, the market was quite lethargic, and its creator was looking to inject some life into his local market. Since then, it has caught on in pockets around the country, and is quite popular today in Australia.
Value Range Marketing displays properties through an MLS in a price range, with the theory being that it opens each property up to a much wider audience, rather than having them at a specific price point. Also its supporters will tell you that almost all buyers have a price range in mind, when they are shopping for housing. They also point to the fact that almost all MLSs will allow people to search in a range.
Range Pricing is not without its critics, and some are very vehemently opposed. The challange seems to be convincing other real estate professionals that VRM gives them another another weapon in their arsenal. Home sellers must be also be educated as to why it might help sell their home, as they have to get comfortable with, not only the concept, but more especially the the lower end of the range.
Just because these properites are priced in a range doesn't mean that the seller must accept an offer within the specified range, although, in most cases, they do. Sometimes the listing will inform potential buyers that the seller will only entertain offers within the range based on price, terms and conditions.
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