The Number One Mistake Sellers Are Making: Overpricing Their House

Overpricing has been a common mistake we have seen all throughout this year, and rather than getting top dollar for their home, sellers are stuck watching their home collect days on the market, with little-to-no action. Data from Realtor.com shows the number of homeowners realizing this mistake and doing a price reduction is climbing (see graph below):

If you’re looking to sell your home and the agents you interview are not providing an honest opinion of pricing based on resources and comparables from the current market, you shouldn’t trust them. Jim Slater is known for his competitive pricing, allowing the best opportunity for multiple offers, which is the best way to receive top dollar for your home. Below are some common mistakes or misled thoughts from sellers and non-honest realtors. 

Not Paying Attention To Current Market Conditions

If you are looking at comparables from what sold back in 2020 or 2021, the price you’re coming up with is irrelevant. Understanding the current market conditions and the psychology of the buyers in the current market is key to accurate pricing. Jim Slater has expertise in working with all types of markets over the last three decades, and he knows how to adapt and price accordingly. 

Pricing It Based on What You Want To Make (Not What It’s Worth)

Most all sellers believe their home is worth more than it is, and that is due to their personal financial goals of the sale and emotional connection to the home. It is illogical to price a home based on the amount you need to walk away with, or assume your home is worth the same amount of money as another home in your neighborhood (this is very common). This is where Jim Slater will break down how your home compares and differs to neighboring homes and comparable properties, to allow you to come to and understand the appropriate market value of your home. You also may value certain features in your home that you fell in-love with, that aren’t necessarily what the common buyer is looking for, which can be harder for a home to sell as quickly as you navigate the unique buyer needed for your home. 

Pricing High to Leave Room for Negotiation

Many sellers believe that if you price your home high, it will allow for a bigger window of negotiating down to get the price you actually wanted, which can seem logical, but can backfire. If the price is outrageous for the home, many buyers will skip right through it, not scheduling a showing, and ultimately not getting into the home to develop their own emotional connection to start the negotiating. You turn buyers away, and the more exposure your home has, the best chance for top dollar.

Bottom Line

Watching your home sit on the market can be exhausting, overwhelming, and beyond frustrating. It is important not to overprice your home, and you should trust and understand your agent when discussing the price of your home, and where there price point comes from and why it is a logical choice. Call Jim Slater today at 612-590-1802 if you would like to discuss the market value of your home today. 

Source

Coldwell Banker Realty