Pricing is one of the most crucial aspects of real estate today. Sellers sometimes come to us wanting to list their home at a high price, hoping that someone will make an offer that they can then negotiate on, or that they can come down in price later. There are many reasons to avoid overpricing your home when you list it for sale, and three main reasons stand out as the most important.
Firstly, overpriced listings scare off buyers and agents. Most buyers and agents assume that if sellers were willing to take less, they simply would’ve priced their home lower in the first place, and they don’t bother looking at the home at all, or if they do look, they shy away from writing an offer.
Secondly, studies show that homes that are overpriced take significantly longer to sell. We all know that the most impact your home will have is as a brand new listing in those first few weeks on the market. That is when you’ll receive the most attention from buyers and agents. If you spend those first few weeks at the wrong price, you may miss the serious buyers that have been waiting for a home like yours.
Finally, if you overprice your home, it will simply be dropped from many of the online searches. Because buyers have to search with a budget - they cap their online searches at a certain price range. According to the National Association of Realtors, 80% of buyers in 2015 found the home that they ultimately bought online. Pricing a home at market value rather than above will expose your home to the maximum number of qualified buyers.
If you have any questions about pricing your home currently, or you’re just thinking about buying or selling in the Tampa Bay area, give us a call! We’re always happy to help you, and we look forward to hearing from you.