Did you know that overpricing a home can backfire on a seller? Here’s why.  Most buyers tell their agent what they can afford and not to show them anything over a certain price. They don’t even look at an overpriced home thinking the sellers will never come down in price. Some buyers may look at an overpriced home but will likely use it as a comparison for other homes.  Then folks by-pass the overpriced unit and buy the correctly priced home. So the unit just sits on the market and goes stale.

When the listing for the home expires, the next agent has a harder time selling it even if it is now priced right.  Folks will ask, “What’s wrong with this house?” knowing only that it’s been on the market for some time and did not sell.  Since it was out of their price range, they didn’t even know what the asking price was when it first listed. Buyers who were looking at the time the home was first put on the market may already be in contract on another home.

To price your property correctly, first call in at least three agents who have signs up in your area.  They are the local experts.  Ask each, “What will you do for me?” and compare.  Then just to be 100% sure, call in an appraiser, who will charge about $400 to get an opinion from someone who has no interest in the sale.  Now you know which agent is more knowledgeable in your area.


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