Overpricing your home: A critical misstep that can't be undone.
The first two weeks on the market are crucial. Priced properly, it's when a new listing generates the most interest, but overpricing it quickly kills that buzz – You Only Get One Chance to Make a First Impression.
Overpriced listings inevitably linger, losing their initial appeal and perceived value with each passing week. A home that sits too long can develop a 'stigma,' prompting buyers to wonder, 'What's wrong with that house?' Ultimately, overpricing almost always leads to a lower final sale price than if it had been priced competitively from the start.
I'm reminded of this basic home pricing advice by an experience I had earlier this year. I had the opportunity to list a very nice home, but soon discovered the seller and I were far apart on what the list price should be. And I firmly believed that it would not sell for anywhere near what the sellers wanted so I respectfully bowed out of listing it. Not surprisingly, another agent came along who apparently agreed to the sellers list price.
It went on the market at the sellers preferred price and four months later, after 3 large price cuts (totaling approx $250k), it sold for more than 20% below its original list price and almost 10% below its final much-reduced list price. I have no doubt that if it had been listed more reasonably, from the start, it would have sold much quicker and for more money.
I'm not gloating, not at all. How could I, I failed. I was not able to make a strong enough case to the sellers to persuade them to list their home at a price that would have been more successful for them - with lots of time saved, more $$ earned and much less stress.
I've made that mistake before, overpricing a listing, and I keep trying to not ever make it again.
Catalina Foothills Homes
John Schneider, Realtor® | Tierra Antigua Realty
TheFoothillsToday.com
[email protected] | 520 271- 4164
