Recently we had an encouter with a client who had decided to sell their home. This custom home had lots of great features. However, it was located in an area that had not sold many homes in that price range, school system was not the most desirable and the neighborhood had no ammenities. This homeowner loved their home and felt that they should be able to sell it for " the amount they felt was reasonable" . When asked where they came up with their price, they told us that this is what they think the house is worth. "PRICE PULLED OUT OF THIN AIR".
Boy would I love to be able to do that. Decide on a price to sell a house for and it magically becomes worth that price. You see.... homes will sell.. for what the market is willing to pay. No matter how much you disagree..... the market will set the price....
The value of your home is directly related to the market and conditions surrounding the home. It would be so nice if we could have enough control to change the market, but it is driven by stronger powers than myself.
This client listed their home for the price they wanted, upset that the price they wanted last year did not work either. (They were almost $80,000 more then). The home was advertised on MLS. Pictures were taken and posted. A professional tour was created...
Months later... NOT ONE SHOWING! OVERPRICED!
You see, it does not matter how beautiful and fantastic your home is... if it is OVERPRICED it will not sell. In this case, it was so overpriced it never even had a showing. The client blamed it on the photos.. He did not like them. The fact was that statistical data showed that the pictures were never even viewed. Once the potential client got to the main picture and information, they moved on.
It is important to listen to your Real Estate Professional. Believe me... it does us no good to underprice a home. It sells but the seller and the agent loose money. Pricing a home right involves lots of different data to be gathered and then based on the market the price is determined.
Adjustments may follow based on the market conditions every changing climate.
Work with your agent and listen to their advise. If you have had no showings or have had 10-15 showings without an offer. You have to look at the PRICE.
Good luck to everyone working to price homes accurately....
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