Spring 2011 eNewsletter
Dispelling Pricing Myths
Tony and I still see many sellers who are “in denial” with regards to the value of their home. Today’s reality is that home prices are close to what we saw over 10 years ago in the Greater Columbus area. We’ve the things we hear the most frequently and hope to dispel these myths. The best opportunity for selling your home is in the first 6 weeks. Research shows that the longer a home is on the market, the less the seller is likely to net.
Price Myth #1: “We can always come down.” - You want to capitalize on the flurry of activity in the first 30 days. You want the greatest number of people to see your home when it’s at the best price.
Price Myth #2: “They can always make us an offer.” - If you overprice your home, the right buyers won’t see it. The higher priced buyerers won’t want it. You will end up with no offer and possibly help sell another seller’s home that is a better value.
Price Myth #3: “I’ll wait for a better offer.” - The best offers are generally the first offers. The percent of asking price received goes down over time.
Price Myth #4: “We want to test the water.” - The competitive market analysis was the test. It shows what similar homes have recently sold for.
Price Myth #5: “We’re moving to a higher priced area.” - Your destination market has no effect on the value of your current home in the local market.
Price Myth #6: “I paid $XXX for my house and need that to sell it.” - The reality is that the market has declined to levels seen 5 – 10 years ago. Unfortunately, the price paid or how large your mortgage is, has little relationship to today’s value.
Price Myth #7: “Couldn’t we try a higher price for just a couple of weeks?” - The showing activity on your home is at its highest when it is a new listing. The number of showings decreases over time regardless of the price.
Price Myth #8: “Another agent said they would list it for more.” - A real estate agent has no control over market conditions that affect the price of your home. Select a Realtor based on competence, service, marketing plan and knowledge … these are what you will receive from Tony and me!