Don’t Overprice Your House. Just…….Don’t.

One of the biggest challenges when selling a home is deciding on the asking price, which is often the battle between Realtor and seller. Realtors are always talking about the importance of pricing a home correctly but many sellers feel the best strategy is to price it high because “you never know, you might get lucky” or “you can always lower the price, but you can’t raise it” and “I want to leave room for negotiation!”

CaptureOverpricing your home will lead to your house selling for less and taking longer to sell than it would have had it been priced lower from the start. If a house is overpriced, buyers may not even come to see the house, let alone make an offer! Weeks will pass and the seller will find herself/himself having to drop the price in order to chase the market. But by this point, those initial buyers that visited the house have likely moved on, and new buyers that come to view the house after a price drop will see that is has been on the market for some time, will see the price drop and will wonder why it hasn’t sold. There will be less of an urgency to make an offer than if it was a brand new listing. On top of that, buyers often see a price drop as a sign of weakness and they will make lower offers thinking the seller might be desperate. It is still a sellers’ market; however, todays buyers WILL NOT purchase an overpriced house!

The first two weeks on the market is the best time for a seller to get an offer because buyer activity is at its peak and sellers’ leverage is at its strongest. Don’t be tempted into overpricing your home in hopes that you just might get that one buyer who falls in love with your house and who doesn’t care about price…this is unlikely to happen. The best strategy is to price your house at or just slightly above market value, and I mean just slightly. If you’re lucky, you just might create a bidding war and sell it for over asking price.

In order to navigate this market, and for a free home valuation, contact me. (214) 609-7123 or jtrump@kw.com.

10177988_10202212745146046_7262910266828796706_n

Advertisements

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s