As a seller, there is a time when you shouldn't "sell" your listing to the highest bidder: when you're interviewing agents to list, market, and sell your home.Many home sellers decide to interview a number of agents before they list their home. I think it's a good idea - you're going to be spending a lot of time working with this person, so you should make sure you're going to get along well, and that they are going to market your property to the fullest extent possible. But, let's face it - no matter how nice the agent is or how slick her marketing materials are, the one burning question most sellers will have is, "how much money can I get for my house???"
NO one - not even the big name in town that everyone's heard of - knows the answer to this question. No one has a crystal ball. No one knows all the variables that a buyer is taking into consideration when they decide to make an offer. But what a good agent can and will do is research the market, be aware of the trends in the neighborhood, and evaluate the condition of the house against other homes that have recently sold in the neighborhood, then arrive at a reasonable range of prices where the actual sales price might (and notice I say "might") end up.
There are agents out there, though, who will "bid" for your listing by quoting a sky-high list price. They're hoping that you'll hear that number, see dollar signs floating in front of your eyes, and think, "wow, this gal can work a miracle and sell my home for that price. Sign me up on the dotted line!" You'll stop interviewing other agents, and hire this dreamer to sell your home.
In reality, though, what this agent has just sold you is pie in the sky, and months (if not longer) of disappointment to come. They quoted the unrealistic price only to make sure you'd hire them over all other agents.
Your listing will start out with one or two showings - curious buyers checking out the new listing on the block - but the number of showings will taper off. No offers will come. Your agent will recommend a price reduction, then another, and yet another. Your property will sit on the market until it is "stale," and a buyer will finally come in with a lowball offer you either have to or feel obligated to accept. And, guess what? This offer will likely be much lower than the offer you would have received if the property had been listed at the well-reasoned (but lower) price quoted by a knowledgeable, trustworthy agent.
The moral of the story? Don't automatically "sell" your listing to the agent who gives you the highest list price. If it sounds too good to be true, it probably is! Hire the agent who has researched the market, has the strongest marketing plan, and will bend over backwards to sell your home.
Comments(1)