The Waiting Game, When Is The Right Time To Reduce The Price

You set an asking price when you first listed your home, & maybe you have not had any showings or offers yet. Just as it's important to know when it's time to sell, it's important to recognize when it's time to reduce the price.

Suppy & Demand

If a lot of homes are currently listed on the market & your home is priced higher or about the same as the unsold inventory, it may be time to consider a price reduction.If you were buying a car & 5 dealers offered the same car at different prices, what would motivate you to buy from one over the others? If you are like most,price is a leading factor.The same is true with real estate. Home buyers are looking to get the best value for their dollar.

Hurry Up & Wait

If your home has been listed on the market for what is considered to be a lengthy time for your area, it may be time to consider a price reduction. If you have already found another home you would like to buy you may also want to hurry up the process. Some sellers make an offer on another house before their home is sold with a contingency on selling their current home. When this happens, the homeowner is likely to be in a hurry to sell so that they can honor the terms of their new agreement before it expires. Real estate can often be a waiting game, but sometimes it may be necessary to speed up the process, by a price adjustment, in order to complete the sale.

Market Value Fluctuations

We all know how the market fluctuates. Property values may go up one year & fall the next. If your house is currently listed & the property values have fallen, you may want to consider lowering the price in order to remain in the running. If your house is priced far above market value, most lenders will refuse to approve a loan for your asking price anyway.  

Realtor Recommendations Are Golden

If you have your home listed with a Realtor, you obviously trust him/her to guide you through the process of selling your home. If your agent suggests a price reduction, it may be in your best interest to consider it sooner rather than later. Nobody knows the business like a Realtor. They know what buyers want &, in most cases, what they are willing to pay. If you have trusted your agent enough to hire them, trust them enough to value their opinion and take action. Their advice is golden!