Austin TX Real Estate Pricing Strategy can make or break your selling experience. You can end up staying on the market longer than you should, and also making you net less than you probably would have if you don't think about your strategy in advance. I have two examples...
One Austin TX Seller got an unofficial appraisal of his home for $750k. But you don't have the report? No, says Mr. Seller. The appraiser came over and looked around and such and told me a number. Oh great... It comes time to list it. He thinks his house is worth $750k because an appraiser "looked" at his house, and doesn't want to see what information the agents, multiple agents, presented to him on value, which were in the $650k range.
He does conceded $750k might be a little high, so he lists at $699k. He picks a "newer" agent because a "newer" agent would be more hungry for a sale and would have more time to market the property. There are many things wrong with that statement, but the biggest one is, if it's a newer agent, does that agent know how in the world to effectively market in order to get the sale? The seller didn't think about that one.
In this example, the seller was at $699k for so long, and didn't do any effective price reductions. By the time they reduced it to market value, it was on the market about 6 months. People weren't looking at it anymore. These sellers ended up reducing to $570k eight months later and sold for $525k. If priced right from the beginning, they could have gotten a heck of a lot more rather than being a stale listing.
A second Austin TX Seller listed for $350k back in September 2009. It's still on the market today. I was looking at information and it looks like it comps out about $320k. Not a gross overprice, but still overpriced. Over the past year, they have reduced and reduced and reduced, but put a 5 month gap in between the critical reduction.
It's currently on the market for $289k and could have sold over $300k several months ago if it was priced right at the very beginning.
In these examples, was it the agent who overpriced, or was it the sellers? In the first example, I know for a fact it was the seller who overpriced his home. I competed for the listing! In the second example, I can only assume, but as soon as the seller switched agents, the house was priced well, and it will probably sell fairly quickly. I think the first agent priced this one wrong...
Austin TX Real Estate is going strong, but if the seller and their agent aren't on the same page, pricing can screw up the end result they both want!
If you're a seller in the Austin TX area, contact me today, and I'll give you an honest, non-cherry-coated opinion about pricing for your home to net you the most and sell in the quickest time!
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Austin TX Real Estate and the surrounding areas of Lakeway, Bee Cave, West Lake Hills, Cedar Park, Round Rock, Spicewood, Circle-C, Steiner Ranch, and everywhere in between... Hill Country Austin TX Real Estate and beyond. Whether you're buying or selling an Austin home, I'll be with you every step of the way.
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Copyright© 2010 By Donna Harris, All Rights Reserved. You may re-blog with links back to this post.
* Austin TX Sellers - Your Pricing Strategy Can Make or Break Your Net * was first published on donnahomesblog.com