My peer, Beatrice Bloom, a sales associate down in Princeton has a very good point! She blogged the following on Trulia; Home sellers are often tempted to overprice their exclusive properties in order to ‘test the market’ and then ‘negotiate down’ to get the most money. But this strategy is counter-productive. It can actually scare away qualified buyers and cause your home to linger on the market and even expose you to low-balling bargain hunters. The best strategy is to price your home competitively from the start. First check comparable sales in your area. Not only will buyers know the true market value of your home, but appraisers will too, and they play a big role in how much money the buyer’s lender will approve. Every 30 days, review your competition and adjust your price to reflect market conditions. Most home buyers do their initial house hunting online and price is the first thing they check. Make sure your home is priced competitively and looks beautiful in your photos.
Best advice? When in doubt, go low. A lower priced home invites multiple offers and gives you room to negotiate for more money. Ask your REALTOR® to help you find your home’s true market value.
As we have found in Basking Ridge – homes priced right sell in the first 30 days; homes priced wrong but adjusted in a timely manner also sell within 30 days of the price adjustment but often for a lower price than what would have been achieved should they had been priced right to begin with. Basking Ridge homes typically close with 3 or 4% of list price at the time of sale – those that drop lower than that typically have greater days on market. Check the Basking Ridge sold data on my website.
Jennifer Blanchard, Sales Associate, Listing Specialist, Basking Ridge Real Estate, Weichert, Realtors
