We all know how hard it is to hear that you need to list your home at a lower price than you had hoped for.The truth of the matter is that we are in a declining market (Berkeley, Oakland, Piedmont, Alameda all over the Bay Area) with interest rates starting to rise so timing is not on our side.
Reasons to Price Correctly
TIME Chances are your home will sell at its fair market value. Pricing it correctly at the outset simply increases the likelihood for getting the most money in the shortest time with the fewest hassles.
COMPETITION Buyers educate themselves by viewing homes on the market. They know what a good price is. If your home is not priced competitively in value with those they have seen, it won’t sell. Buyers typically look at home within a $10-25K price range. If your home is not priced within the correct range, it very likely will not be exposed to its potential or targeted buyers.
REPUTATION Overpricing causes most homes to remain on the market too long. Buyers, aware of a long exposure period, are often hesitant to make an offer because they fear "something is wrong" with the house. Often homes that are on the market for a long time eventually sell for less than their fair market value. This is another poor strategy.

INCONVENIENCE If overpricing keeps your home from selling promptly, you can end up owning two homes - the one you've already purchased and the one you're trying to sell. This can prove costly and worrisome, as well as inconvenient.

Labels: Correct Pricing