Last week I cut out a piece from the Wall Street Journal titled “Get Real With Your House Price” and of course because it caught my eye, I wanted to share it. For a long time I have felt like a salmon swimming up stream when discussing pricing with sellers in this market. My advice is: “How you price your property is how the marketplace perceives your desire to sell it.”
For instance, I just closed a sale last week. My seller had listed her property with another agency and had no success. When she called me, I had to give her the bad news that despite the fact that she bought her house in February of 2006, she stood no chance of selling at a profit. The market had gone down since then and if she really wanted out, I said list it at the price at which you purchased it and you will broadcast that you really are a seller!! And voila – we had many showings and a purchase price just $1500 below the asking price.
So, back to the Wall Street Journal article – it asks a simple question – “How can sellers tell if their homes are overpriced? Look for the following signs:
1. Not Enough Showings.
2. Some showings, but no contract.
3. Similar homes are now selling for less.
4. Repeated negative feedback
5. You’ve cut the price but not enough.”
I didn’t write the article but it resonated with me like I had. If you are a real seller or are thinking of selling, pay attention to the pricing!!