The 30-Day Sale... Price is King!
Price is King
Your home must excite the market, not just be "fairly priced." If the comparable competition is priced between $315,000 and $365,000 (and isn't flying off the shelves), you need to be at the lower end or even lower. Just 'cause the identical house down the street is priced at $329,900 doesn't mean you should price yours there too. Your home needs to blow away the competition, to the point where the buyer wonders if the listing agent blew it on the price because your home is SO MUCH nicer than everything else he saw! We want him screaming "WHERE DO I SIGN?"
In our market, there may be five buyers for every 20 listings. This means that ONLY the top five listings will sell, if those top five are lucky. The other 15 will not sell - there simply aren't enough buyers. And, don't forget, there's new competition coming on the market every day, with fewer Days on Market (DOM) than yours. Buyers know this and are willing to wait for the home that blows them away.
And, no, don't count on overpricing and hoping that "buyers will make an offer." Oh, don't worry, buyers aren't shy about making "offers" (that is, LOW ones), but not if they don't ever see your home. Here's the thing... if your 3-bedroom home is priced alongside comparable 4-bedroom homes, the buyers for that 4-bedroom competition won't even look at your home because it doesn't meet their needs for that additional bedroom. They don't want your house at any price. And thus, won't "make an offer."
Conversely, the perfect buyer for your 3-bedroom home won't see it either because it's out of his price range (and he probably has plenty to look at IN his price range, anyway).
Does this sound overly negative? I don't mean it to be! In fact, in a way, it's good news! Who controls the price? YOU! In most cases, if your home is priced right, it will sell.
But it's just not quite as much fun as the good old days, is it? Yeah, I know.