How do we handle the concern a seller has that the sales range our CMA and Realtor Property Resource report (RPR) is too low.
Pricing homes is difficult, where we recommend a seller lists a home is not our opinion of the worth of the property, it is the current market's valuation of the property. It is a scientific analysis that is produced by a CMA and an REALTOR Property Resource report, we stay as close to our local appraisers valuations and adjustments as possible. We are usually within $2,000 of the final bank appraisal amount.
Our track record helps, but there are still some sellers who balk at listing within the calculated range and want to "just try it for a month". The first 15 days on the market are THE MOST IMPORTANT. We won't list an overpriced property, it is a waste of both the seller and our time and money. Those first 2 weeks are when REALTORS, buyers and neighbors are most aware of a new listing.
What we do in those situations is to ask the seller if they are willing to pay to have an actual appraisal done ($350-$450). If they are, we make the following offer, "If the appraisal results in a projected sale price that is more than $2,000 above our calculated sale price range, we pay for the appraisal and agree to list the property in the appraisers price range". However, if the appraisal is within $2,000 of our projected appraisal price range, they pay for the appraisal and agree to list within the recommended range.
We still lose a number of listings to others who will list for what ever the seller wants, but we hold the line, we know listing too high hurt sellers. As word gets out we will continue to grow through word of mouth and by educating the sellers.
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