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Overpriced Homes-Sell Slower and For Less

Reblogger Vivian Gilbert
Home Stager with Home Staging by Vivian LLC

Stephen makes an excellent point here. Just remember if proper pricing is partnered with good staging the property will sell even faster! I been witness to this time and time again. My real estate agents are wishing all their properties would sell as fast as the ones I stage in Bethesda, Potomac and Washington DC.staged living and dining room combo

Overpriced Homes-Sell Slower and For Less If there’s anything we can take away from the plethora of Bank Owned Foreclosures is they certainly know how to price a home to move!

I maintain that you almost always shoot yourself in the foot by overpricing your home. Your home will almost overpriced homesalways sale at or above market value by pricing at or below market value.

So why is that? Well think back at when YOU were buying a home. Remember when a “great deal” came on the market and everybody and their agents were “swarming” to the open house? You placed your offer only to find out their were 10 other offers and they were going above the asking price? This “bargain price” created an auction affect and got people excited. THAT is how banks are pricing their homes and if you want your home to move quickly and for the most amount of money, this is a winning strategy.

So why don’t sellers do it? I think it’s because there’s a little voice inside of our head (and pocketbook) that says “what if”.

“What if”- I can get $50K over market value. (even if someone were excited enough about your home to pay $50K over appraised value, their lender won’t loan the money if the value isn’t there. No loan, no buyer)

“What if”- I don’t get multiple offers and I only get one offer (May be still overpriced!)

Often fear (and greed) hold us back from making smart choices! Don’t feel bad though, even Real Estate Agents are guilty of senselessly overpricing their homes. Somehow when it’s our turn to sell all of our “market knowledge” becomes goo and leaks out of our ears! It’s like the hairdresser with bad hair!

The bottom line is, almost always, an Over Priced House will sit on the market longer and sell for less than it should have had it been priced strategically from the beginning.

 

Copyright © 2010 By Stephen Munson,Munson RealtyPasadena|Overpriced Homes-Sell Slower and For Less*overpriced homes,overpriced house

Paul Walker
Equity Fifty Five Realty, LLC - Scott AFB, IL
Scott AFB IL Area Realtor

They sell for less, because the market is declining while they are sitting on the market, the buyers look at the days on market, and decide if no one else wants it, there must be something wrong with it, or certianly decide that the seller has to come down, because no one has offered to pay anything close to asking - since it is still available after all of these days on the market. Days on Market = Less Value! Why would anybody rush out to buy yesterdays newspaper or yesterdays donut that is old news or stale! Only one reason - cheaper than new fresh donuts.

Aug 07, 2010 04:06 AM