The Importance of Pricing Your Home Right THE FIRST TIME!

The Importance of Pricing Your Home Right THE FIRST TIME!

One of the cardinal sins that many sellers make is overpricing their home. Let's look at what will happen if you overprice your home:

1. Buyers will not even see your home!  Many people say that we are currently in a "buyer's market."  All that really means is that there is an oversupply of homes and there are more sellers than buyers in the marketplace. Since buyers have more choices, they are generally going to look at lower priced homes first.

2. Real estate agents will use your home to sell their clients another home!  Here's how this works. An agent will say to his client, "Mr. and Mrs. Buyer, you see this home for $499,000 ... well you can buy this other comparable home two blocks over for $479,000 ... let's go look at that one and buy it!"

3. You will end up chasing the market!  In most areas, the real estate market is flat or depreciating. As more inventory comes onto the market, prices decrease.  If you overpriced your home and need to do a price reduction, you will now be in "chase mode" and have to do a large reduction to attract interest. This is not a good position to be in.

4. Your home will sell for less than it would have had you priced it right from the beginning!  There are many reasons for this.  The main one is that the optimum time to sell a home is in the first 21 days on the market.  After that, and especially after the first few months, buyers begin to wonder why the home hasn't sold and tend to make lower offers.  You will also have to start reducing the price of the home to attract interest.  A recent report found that homes with price reductions sell for an 11% discount.  That's a lot of money!

5. You will get very frustrated!  Let's face it ... keeping a home in great "showing" condition and having strangers tour your property all of the time is emotionally taxing and time consuming. The longer you have to do it without actually selling the property, the more frustrated you will become.  Ultimately selling your home for less than you planned will only serve to further aggravate the situation.

As you can see, it is critically important to price your home right the first time, in order to sell quickly and for top market price.

Are you thinking of moving or would just like to talk real estate?  Call me or e-mail me for a complimentary real estate consultation, including a market analysis of your home.

-- Danny

 

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© Boulevard Realty 2010. All Rights Reserved.

About the Author: DANIEL DIMA BATSALKIN is the Principal Broker and CEO of Boulevard Realty, a full service real estate brokerage serving the discerning needs of clientele throughout Los Angeles, California.  Mr. Batsalkin specializes in representing sellers and buyers of residential real estate in Los Angeles, Beverly Hills, Brentwood, Bel Air, Santa Monica, Sherman Oaks, Valley Village, Studio City, Encino, Tarzana, Calabasas, the South Bay and other Los Angeles communities. Capitalizing on a background practicing real estate law, Mr. Batsalkin provides clients with a strong level of comfort due to his extensive knowledge of real estate contracts, powerful negotiation skills and use of the latest technologies

Mr. Batsalkin may be reached directly at 310.933.4281 or via e-mail.  

Visit Boulevard Realty on the web at www.blvdrealty.com for real estate information and to view all available Los Angeles homes for sale.

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