The Money You Save May Be Your Own!
A home in my neighborhood has been on the market for over a year. It is centrally located, on a very large lot for city size, and has an older home that is in decent condition. The sellers had no mortgage on the property, having paid off their 30-year note in 1993.
When they first put it on the market, it was overpriced by about $25-$30,000, and no interest was shown in it by any prospects. 6 months later, the market having gone down, they reduced the price by $25,000. Now they were only overpriced by $10-$15,000 (given the downturn in the market).
To make a long story short, about 14 months after originally listing the property, they did finally sell it--for $72,000 less than original asking price! Had they priced it right the first time, it probably would have sold within a few months, at a better price--and not had to live in a home on the market for over a year!
To try to get the best financial return on selling a home, it must be priced within what the market is doing right now. Price it too high in a Buyer's Market, and nobody will even want to see it, much less put in an offer--there are too many other properties competing for buyers. In this case, the seller probably lost $20-$30,000 by not pricing it at an attractive level when he first put it up for sale. Having to deal with living in a home, ready for it to show at any moment, for an extended period of time is irritating. It isn't impossible, but not much fun either.
The point I'm trying to get across is this: if you want your home to sell, price it to move. It will sell quicker (probably for more money), and with less stress. Makes for a good combination, doesn't it?
The best offense versus half-truths & media innuendo: Educate Educate Educate!!!
I would like your words tatooed on my forehead (or maybe on a few sellers foreheads)!
In my own neighborhood of 263 townhomes there are currently 18 listed and another 3 or 4 FSBO. Why would anyone go look at the overpriced ones (which always seem to have the 3 hour courtesy call or appointment only showing instructions) when there are so many others to choose from? The well priced easy show will get the traffic every time!
I know exactly what you mean. I had clients who bought an overpriced listing last year. It was originally listed at $985,000 or thereabouts. They bought it for $629,000. It should have sold at $775,000 to $800,000.
Kent,
This is the first post of yours I could find in the archives. Congratulations on making the 99th percentile in the Rain! You did that awhile ago. Now look where you are:
#460 out of nearly 120,000! Way to keep on blogging!
Mike in Tucson
Mike - leave it to you to dig up my first post! I had no idea that less than a year of this would place me in such "rare air" LOL! You've been a big help along the way with your encouragement.
Kent,
It's the man, not the land! But with your ranching background, you already knew that. Much Success!
Mike in Tucson
Kent,
I had to come back to your very first Active Rain post to say CONGRATULATIONS on reaching the 200,000 point milestone in the Rain!
Mike in Tucson
Thanks Mike - I've been away from the Rain for quite a while (sort of like our own parched city, huh?). Time to get "back in the saddle!"
That it is, my friend! Time to get back in the saddle. We're missing you in the Rain!
Mike in Tucson
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