Most realtors want to price a home to sell, while most sellers think it’s worth more. That’s the age-old dilemma that has plagued real estate. The simple fact is that overpricing a home is the death of that house. It will sit on the market and nothing will happen. The only showings it will receive are from other buyers who want to look at it and say, “Look at this one! I can get the one next door for ‘x’ amount less – that’s the one I’ll buy.”
Buyers don’t even want to make an offer on something that’s overpriced. It’s perceived as a waste of time. Why make an offer when the seller seems unreasonable because it’s priced in the stratosphere? On the other hand, you’ll hear the seller saying, “Just give me an offer. All I want is an offer so I can negotiate off my price.” That’s the catch 22. There will be no offer to negotiate because there’s not even a realistic starting point.
I understand both sides and obviously, the more a home sells for, the more it benefits both the realtors and sellers involved. However, there comes a point where it works against all efforts. It’s smartest to really analyze the comparable sales near your home and price yours accordingly. It takes a well-trained Realtor to help you get the right pricing for your home; it’s part art and part science.
This will make all the difference in how quickly your home sells. If it’s listed too high, it’s a real turn-off to buyers and then the home will sit on the market. As those days start to accumulate, the likelihood of attracting a buyer will become less and less. As days turn into months, it then becomes necessary to drop the price to stir new interest and attract a buyer. Some sellers will only want to make very small incremental price drops. This accomplishes nothing because the home is still overpriced. What it takes is a large, bold price drop to shock the market and create a frenzy among realtors and buyers. This is what will get them in the door and get an offer on the table.
Don’t fall into the mindset that you think you can get ‘x’, when your house is actually worth ‘y’. In the long run, it will cost you more money, time, stress, and aggravation.
Best of luck selling!
Gabe Mellein was voted a Top Real Estate Agent – Exceptional in Service and Overall Satisfaction by Gulfshore Life Magazine in 2012 and 2013. He is the broker of Gulf Pointe Properties, Inc and has over 9 years experience in the SW Florida Real Estate Market. He is a member of The Naples Area Board of Realtors, Bonita Springs – Estero Association of Realtors, Realtor Association of Greater Fort Myers and the Beach, The Florida Association of Realtors, The National Association of Realtors, and is nationally certified in Feng Shui for Real Estate. Need real estate help? Please contact Gabe at: 239.825.2234, Gabe@GulfPointeProperties.com or www.GulfPointeProperties.com