One of the biggest mistakes sellers make is they price their home above or at the top of the market. Their logic tends to be that is if they go on the market at a higher price they can always negotiate down to the number they were actually thinking. Or, if no one makes an offer they can lower the price in minor increments over time.
This is not a good strategy! In fact, it almost never works. As a home sits on the market and days begin to go by how likely are buyers thinking that the home is worth what the sellers are asking? Hardly ever. Buyers are thinking that the home is overpriced and it needs to come down.
The longer you stay at that price the longer the home will sit and the more doubt begins to travel through the market about your listing.
Therefore the best pricing strategy is to price the home just a hair under the market. People like to get more value for what they’re paying. Placing a home on the market for $325,000 when it may actually be worth $330,000 will most certainly get buyers interested.
And here’s what usually happens, assuming you’ve done a good job preparing the home for sale, you won’t just get one buyer to make an offer, you’ll have several. They’ll all be competing for your listing! What do you think happens to the price of that home when there’s competition? That’s right, you got it! It goes up, and sometimes, way up! What was priced at $325,000 ends up selling for $335,000 or more.
This pricing strategy puts sellers in a strong negotiating position. And at all cost, negotiate from a position of strength.