I get this question on most listing appointments that I have. The sellers want to leave some room to negotiate. In a market that is moving in the sellers direction, pricing your home with a little cushion will benefit sellers because 30, 60, 90, or more days from the list date, the home will be worth more. That is why we always say "It's time or money".
In a buyers market, it's "TIME AND MONEY". Pricing with cushion will often price your home above market value and effect showings. Slowing down the showings on your property will result in wasted market time. With prices coming down, this will cost the seller money.
Please don't overprice your property in the market that we are currently experiencing. Amend your price frequently if you are not having ample showings. Get your home priced so that buyers and their agents find your home to be the best value. The good news is you don't have to accept any offers that come in below your asking price, and believe me buyers will try to get the best deal they can.
What situation do you want to be in? Do you want to be getting offers and negotiating, or have your home sit and not be shown while prices are falling? Seller's should take a hard look at every offer in this market. Always counter an offer if you are not going to accept. I don't believe in rejecting offers in any market. The goal is to sell your property, so lets not get our ego in the way. Tell the buyers what you will accept and see how they respond. Buyers in this market are rare. Don't go shooting endangered species.
Slow decision making on the part of sellers will also be costly. I have had this happen a number of times. I will give the sellers information on comparable properties and recommend amending the price. This market analysis is based on current conditions, not a month later. If you are a seller that takes weeks to come around to getting back to your agent and approving the price reduction, you might miss that price again.
In the current Real Estate market in Big Bear prices are still coming down. So, if you aren't going to pull the trigger for a few weeks or more on the recommended price change or list price, you might want to consider how far prices will drop during the time that you will need to make the decision.
So, save yourself some money and price your home at or below market value in a buyers market and respond quickly to market changes.
Steve Hirschler
Associate, The Tim Wood Group
Coldwell Banker Mountain Gallery
42153 Big Bear Blvd.
P.O. BOX 6820
Big Bear Lake, CA 92315
steve@bigbeargallery.com
909 866-3481 EXT. 217 CELL 909 725-5889
Fax 909 866-3531
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