Home Seller FAQ 4. Why can't I list High at the start? I can always decrease the price.

By
Real Estate Agent with RE/MAX Centre Realtors
https://activerain.com/droplet/Bhb

Home sellers always ask me this question. Here are some reasons why you should not list the price too high when you list your house:

When a new listing comes on the market it creates the greatest buzz. Agents see it on the hot list and email information to their buyers. Buyers who search online, who have set up automatic alerts for new listings find out about it , people driving by the house see the sign and call for the price.

Buyers look for homes in their price range. eg a buyer may be qualified for $300k may search for homes from $275k to $325k.

If you have listed your home for $350k and are willing to come down to $325k after a few  months, you have already eliminated prospective buyers looking for homes such as yours because they will look only upto $325k. By the time you lower the price they may have found a home and if your home is still on the market they will wonder why it did not sell .

Yes many homes sell for lot less than original list price. The questions you should ask yourself are 1. Do you  really want to sell and move on or do you want to just test the market ? If you are not serious about selling you can certainly test the market.But please be honest with the agent so the agent can decide whether to take the listing or not.

I have seen some listings that come up on the market every year and when I show these homes neighbors say they have seen these people have been trying to sell for  a long time.

There is usually a window of opportunity and that is when the house first comes on the market. It is important to list it right at the start and hope you will have multiple offers rather than have to reduce the priceand go through the inconveniences of having your home on the market for several months.

You should not give away the house . You should get the highest price in shortes time and this is possible with a good market evaluation , by knowing about supply and demand and about about your competition.

 

Other posts of interest to sellers.

Home Sellers FAQ. 1.How should I choose an agent to sell my home ?

Home Sellers FAQ 2.Why should I leave the house during showings ?

Home Seller FAQ 3. Why should I make minor repairs ? Can't I just give buyers a credit

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When you read about events please check the year for the event as some people find information a year later and think it is for that year. . The posts remain online even after the event.

Gita Bantwal is a Realtor with RE/MAX Centre Realtors in Bucks County, a Northern suburb of Philadelphia. You can view 1000s of listings on her web site www.GitaBantwal.com

 

She can be reached at 215-343-8200x124 or direct 215-275-8491 or via email gita01@aol.com

If you would like a FREE MARKET EVALUATION OF YOUR HOME IN PHILADELPHIA, BUCKS or MONTGOMERY COUNTY call me at 2152758491

 Gita specializes in Active adult communities and is a Seniors Real Estate Specialist. She holds the ABR designation (Accredited Buyers Representative) and specializes in selling to first time buyers as well as move up buyers.Gita also hold the CRS designation , Certified Residential Specialist and the CDPE designation as well. Information about real estate market is deemed to be correct but is subject to errors and omissions and should be verified independently.. Opinion expressed by me or others  in my post and comments is not to be construed to be  legal advice.I am licensed in Pa. Check real estate laws in your state as they may be different than in Pa.

IF YOU WOULD LIKE TO SUBSCRIBE TO MY BLOG         CLICK HERE   OR EMAIL ME AT Gita01@aol.com

 

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Rainmaker
422,693
Marnie Matarese
DWELL REAL ESTATE - Sarasota, FL
Showing you the best of Sarasota!

Great post!  Succinct and easy to understand.  Think I will arm myself with it on my next listing appointmnt.  People just don't want to buy stale bread and that is what an overpriced listing reduced many times seems like to them.  Thanks for a really good blog.

May 17, 2012 05:56 AM #1
Rainmaker
2,379,988
Anita Clark
Coldwell Banker Access Realty ~ 478.960.8055 - Warner Robins, GA
Realtor - Homes for Sale in Warner Robins GA

Gita: Good explanation of why sellers should NOT over-price their home.

May 17, 2012 06:08 AM #2
Rainmaker
4,433,283
Gita Bantwal
RE/MAX Centre Realtors - Warwick, PA
REALTOR,ABR,CRS,SRES,GRI - Bucks County & Philadel

Marnie, Good luck. It is a great idea to take articles written by others to reinforce some points.

May 17, 2012 06:09 AM #3
Rainmaker
4,433,283
Gita Bantwal
RE/MAX Centre Realtors - Warwick, PA
REALTOR,ABR,CRS,SRES,GRI - Bucks County & Philadel

Anita, Thank you for reading. I hope sellers will read this and benefit from it.

May 17, 2012 06:10 AM #4
Rainmaker
959,168
Kay Van Kampen
RE/MAX Broker, RE/MAX - Springfield, MO
Realtor®, Springfield Mo Real Estate

Good advice for home sellers, Gita.  You are doing a great series.  This should get you lot of activity on your website and new sellers as well.

May 17, 2012 12:16 PM #5
Rainmaker
4,433,283
Gita Bantwal
RE/MAX Centre Realtors - Warwick, PA
REALTOR,ABR,CRS,SRES,GRI - Bucks County & Philadel

Kay, I hope sellers will read these posts.

May 17, 2012 11:00 PM #6
Rainmaker
3,623,512
Kristin Johnston - REALTOR®
RE/MAX Realty Center - Waukesha, WI
Giving Back With Each Home Sold!

As someone in my training 12 years ago said, you get most of your buyer traffic within the first 3 wks of being on the market so you have to take advantage of that..

May 17, 2012 11:32 PM #7
Rainmaker
4,433,283
Gita Bantwal
RE/MAX Centre Realtors - Warwick, PA
REALTOR,ABR,CRS,SRES,GRI - Bucks County & Philadel

Kristin, I remember the same from my training years ago.

May 17, 2012 11:35 PM #8
Rainmaker
3,280,035
Scott Godzyk
Godzyk Real Estate Services - Manchester, NH
One of the Manchester NH's area Leading Agents

Good morning Gita, I love your series of FAQ. this topic is very important becuase simply if you price it too high, nobody may look at your home. In areas that experience "seasons" where 3 months of teh year 3/4 of the houses sell they could miss the whole busy season.  Have a great Friday

May 18, 2012 12:00 AM #9
Rainmaker
139,488
J Perrin Cornell
Coldwell Banker Cascade Real Estate - Wenatchee, WA
Broker, ABR, VAMRES

Sellers need to understand that they don't set the price the market does and they had best listen.... also there is a difference between value and price.... they are not the same but are taken for the same all the time. 

Thanks for the good read.

May 18, 2012 12:06 AM #10
Rainmaker
4,433,283
Gita Bantwal
RE/MAX Centre Realtors - Warwick, PA
REALTOR,ABR,CRS,SRES,GRI - Bucks County & Philadel

Scott, I did not even think of them missing a whole season. Thank yo.

Perrin, I agree. It is the buyer who will determine what he wants to pay based on the market.

May 18, 2012 12:14 AM #11
Rainmaker
178,018
Erv Fleishman
Realty Associates - Boca Raton, FL
Luxury Prop Specialist Realty Associates

Sellers aim high, buyers aim low and the truth is somewhere in the middle.

Pricing is the key to a happy relationship. 

If the seller is recalcitrant, the deal is done. 

May 18, 2012 12:43 AM #12
Rainmaker
1,545,384
Amanda S. Davidson
Amanda Davidson Real Estate Group Brokered By eXp Realty - Alexandria, VA
Alexandria Virginia Homes For Sale

Gita- Very good explanation. With the way the market is here if you price it right from the start multiple offers have been common which of course drives the price above list a lot of times. Pricing too high is always a lose situation. Suggested.

May 18, 2012 12:45 AM #13
Rainmaker
4,433,283
Gita Bantwal
RE/MAX Centre Realtors - Warwick, PA
REALTOR,ABR,CRS,SRES,GRI - Bucks County & Philadel

Erv, It would be nice if both parties agree on the price quickly.

Amanda, Thanks for suggesting.

May 18, 2012 01:20 AM #14
Ambassador
4,534,134
Kathy Streib
Room Service Home Staging - Delray Beach, FL
Home Stager - Palm Beach County,FL -561-914-6224

Gita- what a great explanation.  I know that so many people want to start high and I'm sure no one ever wants to feel as if they've left any money on the table.  They never look at the money that's being spent on their home while it sits there.  And the offers that would have come had they priced it correctly at the start.  

May 18, 2012 01:43 AM #15
Rainmaker
4,433,283
Gita Bantwal
RE/MAX Centre Realtors - Warwick, PA
REALTOR,ABR,CRS,SRES,GRI - Bucks County & Philadel

Kathy, They may lose some buyers who will not look at homes that are beyond their price range. I agree.

May 18, 2012 01:48 AM #16
Rainmaker
809,353
Ritu Desai
Samson Properties - Ashburn, VA
Virginia Realtor-Fairfax/Loudoun/PW-703-625-4949

Gita, Very simple fact but so hard to get across sometimes with few home sellers. Price it right and move on! Very well writting blog.

May 18, 2012 02:53 AM #17
Rainmaker
4,433,283
Gita Bantwal
RE/MAX Centre Realtors - Warwick, PA
REALTOR,ABR,CRS,SRES,GRI - Bucks County & Philadel

Ritu, Thank you for reading.

May 18, 2012 06:51 AM #18
Rainmaker
4,608,747
Joan Cox
House to Home, Inc. - Denver Real Estate - 720-231-6373 - Denver, CO
Denver Real Estate - Selling One Home at a Time

Gita, great advice, and hopefully buyers in and around Warwick will consider you as their expert and call when listing their homes!

May 21, 2012 08:11 AM #19
Rainmaker
4,433,283
Gita Bantwal
RE/MAX Centre Realtors - Warwick, PA
REALTOR,ABR,CRS,SRES,GRI - Bucks County & Philadel

Joan, I hope so.Thank you.

May 21, 2012 09:45 PM #20
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Rainmaker
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Gita Bantwal

REALTOR,ABR,CRS,SRES,GRI - Bucks County & Philadel
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