Emotion, ego and pride

Overpricing itself is not damaging so much as leaving the listing overpriced for too long.

Beth, this is so correct, and sometimes homeowners get too caught up in trying to get all their improvements back in their sales price.   Doesn't happen.

Richard and Beth~ It's important to price the home correctly from the start, otherwise the seller will end up chasing the market.

I can't say to you, that ego hasn't gotten in my way when I am marketing a home that we are flipping. A few years ago I renovated a 2 bedroom home, something I seldom ever do. The first offer on the property came in 2 days after it was put on the market. I countered the offer at full price, the buyers walked away, 3 months later I sold the property for 25K less than the original offer. Now, that id was I call a foolish error.

That is great advice and advice worth sharing.  I made my suggestion to feature this one. 

Tough ones for some sellers to overcome, that's for sure. Add them to the fear that they might leave money on the table...

Very low key and subtle. I like your style. You should stay very busy.

Dear Richard & Beth,

Sometimes, it is really tough to come up with a value. I agree with Dena (#1): you can always try it, but if there are not many showings or many showings and no offers, it is time to adjust. Of course, after that, you still have to cross the appraisal hurdle too, which may knock the price again, due to lack of comparable homes. Things seem to be getting a little better though, which is encouraging.

This post contains one of the biggest reasons as to why I never work with sellers. Emotions and egos of the sellers when it comes to pricing.

We agree, pricing is important and makes a difference on long it will remain on the market. Great post!

Sellers are either dreamers of realists. Unfortunately, many agents are also dreamers and will accept a dreamer as a client knowing that their asking price will never be offered. So, how effective are agents who are dreamers? How do you measure an agent's performance when a home finally sells up to 30% below the original asking price? What does that say about the agent and their ability to market homes? Would you hire an agent with a record of consistently selling homes for less than the original asking price?

They are attaching an emotional feeling to the price.  They also want to get top dollar and not think that they were taken advantage of.

Well written in such a calming unemotional way... If buyers and sellers would approach the process the same way. I always say it..."You're buying a house - not having a baby!"

These are often the same people that run down other peoples homes hoping to get a good buy on the property.