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Homes for Sale in Brentwood Ca: There are only 3 Types of Pricing!

By
Real Estate Broker/Owner with Home Point Real Estate DRE # 01492725

Homes for Sale in Brentwood Ca: There are only 3 Types of Pricing!

That is right there are only three types of pricing when looking at Homes for Sale. The trick is in understand what type of pricing a particular home has and how you should approach it with an offer.

The first ones are under priced Homes for Sale. Now everyone is thinking this is just what I want an under priced home so I can have instant equity. Well before you see it you may think it is an under priced home, but once you get inside and look around many times you will find it is priced low for a reason – so it is not really an under priced home. Or it has been priced low to generate offers and interest, but there is no way it is actually going to sell for the price listed. You see this a lot of with Short Sales. You also see it with some REO Homes – the banks price low expecting multiple offers – stall on a response and wait until they get a much higher offer before going into contract. At the end of the day few if any people get under priced homes in this market.

The second type of pricing with Homes for Sale is homes that are priced right for the market. Now this does not mean the home is always priced exactly right. Pricing is an art as much as it is a science, but I am talking about homes priced in the realm of reality for what it is compared to the comps. You might be able to deal somewhat on these homes. You might get a slight reduction in price or a some credits for closing. However, in this particular market homes are in short supply. You may have to pay more than asking. Look carefully at the comps with your REALTOR and make a fair offer. There is no reason in this market for anyone to take a low ball offer on a decently priced home – it will sell.

The third type of pricing on Homes for Sale is the over priced home. This home is put on the market by someone living on hope rather than reality, or someone completely uninformed. Sometimes they know it is over priced but hope some sucker will come along and pay them what they want. Or they figure if they start high they can negotiate better. Now you can put in a fair offer on a home like this, but the odds are the seller cannot or will not take much less than what they have it listed at. If they do negotiate they will be hard fighters and will only agree when they feel they have come out on top.

I work with lots of people putting in offers. I see lots of time wasted by buyers who do not understand the market. There are great deals to be had right now with Homes for Sale. In Brentwood most Homes for Sale are priced at less than half of what they were five years ago. The interest rates are the best in my life time. Don't miss the deal of a Lifetime because you think you have to get the price down even more to get a deal!

If you want to know about Homes for Sale in Brentwood or beyond give me a call at 925-260-4321!

Comments (3)

Linda Edelwich
William Raveis Real Estate - Glastonbury, CT
Serving Glastonbury & Beyond | 218 New London Trnk

The best priced ones - sell the fastest :)

Feb 14, 2012 07:27 AM
Doug Bullwinkel
E Mortgage Capital, Inc. NMLS 1416824 - Roseville, CA
Mortgage Loan Officer NMLS #281609

Excellent explanation on how this all works.  The trick is to determine which type of pricing you are dealing with and then make your offer based on the realistic value.  Thanks for the information.

Feb 14, 2012 07:28 AM
Gene Riemenschneider
Home Point Real Estate - Brentwood, CA
Turning Houses into Homes

Linda - They all sell fast around here if priced fair.  

Doug -  That is the trick is making a fair offer no matter what the list price.

Feb 14, 2012 07:34 AM