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What do ZEROs have to do with anything?

By David Slavin

Real Estate Agent with Keller Williams Premier

July 20, 2008 08:52 AM

Do you price homes with $_____,000 at the end or do you have a combination of numbers. I see homes on the MLSwith zeros at the end and others have all different combinations. My question is does any of this really make a difference? I have tried this to a small extent and haven't noticed any difference. According to some studies I've read recommends NOT to have zeros on the end of a price and to play on the dollar under the real price to play on the feeling of a lower price.

What are your thoughts on pricing strategy?

David Slavin, ABR, SRES www.SellMyHouseDave.com www.FortBendHomeFinder.com

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Anthon Pang

iPro Realty Ltd., Brokerage - Mississauga, ON

Broker

I've seen 900, 995, and 999 which seems to be something borrowed from the psychology of retail product pricing.

Jul 20, 2008 08:59 AM

Carlos DeJesus

Exit Elite Realty Group - Ironbound, NJ

I think round numbers and easier to use. $199,999 or $200,000. I think that the $200,000 number is easier on the eyes. It would look like gas stations selling gas at 1/10 cent increments gas at $3.87 9/10ths Ive never seen a 1/10 of a penny anywhere.. I would prefer to to work with the round number let the settlement agents figure things to the penny on closing day.....Just my $0.02 :)

Jul 20, 2008 09:05 AM

David Slavin

Keller Williams Premier - Katy, TX

CDPE, ABR, SRES Keller Williams Premier

I've had clients that have favorite numbers and they wanted their house priced accordingly. One client's favorite number was 22 so we priced his house at 159,022. It sold so who am I to question the thinking.

Jul 23, 2008 02:10 AM

Barbara S. Duncan

RE/MAX Advantage - Searcy, AR

GRI, e-PRO, Executive Broker, Searcy AR

The Century 21 office in our town thinks it is cutesy to price things at 59,921 or some such always ending with the number 21. I just hate to have to recite it.

Jul 23, 2008 02:07 PM

Barbara, I have the same feeling when I have clients ask me to price it with odd numbers.

Jul 24, 2008 02:52 PM

What do ZEROs have to do with anything?

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