Price.....It Doesn't Matter What You Call It
Price reductions, price
improvements, price adjustments, it doesn't matter what you call it; nobody
wants to hear about lowering prices except a buyer. In slow markets and buyer's
markets, it's not unusual for sellers to point fingers at the agents and agents
to point fingers at seller's unrealistic expectations for a price. Sellers
should ask themselves these questions.
1.
Maybe you don't have to sell. When the market is slow and
inventory is high, demand falls. If that's the case, maybe you should take your
home off the market.
2.
It makes no sense to put an overpriced home in MLS that is not
receiving any showings because it skews the numbers for market performance.
3.
If you're not motivated, you might be better off renting your
house or staying put until the market rebounds.
Picking
the Right Price
If
you're too high, you'll need to continually reduce the price until you hit that
"magic" number, and by then buyers will begin wondering:
1.
What is wrong with your house?
2.
How much lower will you go?
Ideally, you want one price reduction. Here are guidelines to
consider:
·
Realize
your agent is not your adversary but is on your side; enlist his help.
·
Compare sold prices with active listings. Are they reversed? Are
sold prices higher?
·
Run side-by-side comparisons with active listings near the price
point you are considering. Price yours so it falls in the bottom two to five
listings or, if you're really determined, price it less than anything else on
the market.
Every
home will sell if priced right.