Having been in Real Estate for fifteen years, I think I can almost say I have seen it all! Today in an attempt to address an overpriced home, I remembered a blog written by Gary Bolen about selling a tube of toothpaste for $35. I always loved that post because it portrays exactly what sellers are trying to do. You can read it here!
That post was written years ago but the adage still applies now and I suspect, will always apply. Your home is only worth what the market will pay for it! And even then, if the buyer is using a mortgage to purchase, it is only worth what the bank will lend. The bank bases their opinion on the Appraisal. In my neck of the woods, that appraisal stays with the property for six months, so unless there are a ton of cash offers at hand, the seller needs to bite the bullet and sell at market value.
I find that there is a lot of hype about "hot markets' and sellers come out of the box thinking they can sell for astronomical prices. I spend every day pouring through the MLS and can see that while there has been some definite movement, it's almost always on homes that have been slightly underpriced. I have seen many homes go to Highest and best with multiple offers, only to get shot down with an actual appraisal.
As a Broker, I see the look on sellers faces and hear there remarks about the HOT MARKET and do my best to make them see reality. It does not always work and the home sitting on the market and becoming stagnant is the worst thing you can do as a seller, because it immediately depreciates the perceived value and you will end up selling for even less than you may have if you priced correctly in the first place.
A Realtor knows daily how the market is going. Last week was hot and this week is not. Or vice versa.
But what I really was amazed at today was the amount of blogs about Toothpaste in Active Rain!