Buying a house is a bit like planning for your wedding day — there are months packed with excitement, stress, planning, and then, finally, the big payoff. Although I can’t help you with
Finding The List Price Tipping Points
Dated: July 12 2016
Setting the right list price for a home is a mystery for many sellers. How do you begin to determine what buyers are likely to pay for your property? After all, no two homes are exactly alike.
Yet, setting the right price is crucial. You need to avoid the two price “tipping points” that, if crossed, can cause you a lot of problems.
The first tipping point is a price that’s low enough for buyers to begin thinking something is wrong. They wonder, “Why is your price so low? What are you not telling us about your property?”
But that’s not even the worst problem with this tipping point. If you do get offers at that low price, you’ll have a bigger issue – leaving thousands of dollars on the table.
The other tipping point is setting your price so high it discourages buyers from giving your listing a second look. When your price is that high, you’ll get few inquiries and even fewer people coming to see your property.
Of course, you can lower your price later, if necessary. But experience shows that reduced prices make potential buyers skeptical. Most sellers who price high in the hopes of getting a windfall actually end up selling for much less than they would have if they had priced their properties correctly in the first place.
So what’s the right price to list your property? The answer is somewhere in between those two tipping points.
Call today for help determining the right price for your property.
Andrew Schoof is a lifelong Cedar Falls resident. He obtained a Business degree from the University of Northern Iowa. His professional career began in the Mortgage industry then he transitioned into R....