Sales Price Strategies: Getting It Right The First Time
Hey everyone, this is Jordan Matin and I want to talk to you today about pricing your home to sell. There is a lot of nuance when it comes to pricing real estate and I just want to share a little bit of what I’ve learned over the last decade of working in this industry. What I have found is that, the higher the price of the listing, the fewer buyers that are interested in purchasing that property. While on the flip side, when a property is priced at the lower end of the spectrum, it opens up to far more interested buyers. Ultimately what we’ve found is that there are different categories, or price ranges that you can leverage to find the perfect listing price on your property.
Personally, I like to stick to price points on the higher end such as $399,000, $599,000, $999,000, etc, as opposed to being on the lower end with price points like $425,000, $325,000 or even $1,025,000. The reason for this is because when people search for real estate, they typically have a price range that they’re searching in. Let’s say for example that someone is searching in the $300k to $400k range. In my experience, buyers tend to want to reach for the highest price point possible, which makes a property priced at $399,000 seem more appealing than a property priced at $325,000. Even though one property is far less expensive than the other, buyers would rather reach for the property that’s a little bit nicer, rather than settle for a property on the lower end. Now obviously someone may only qualify up to $425k but still, even in this scenario, the buyer is reaching to the highest possible price point for them.
Now, if you’ve got a property listed at the higher end of your price bracket and you’re not seeing very much interest, it may be a good idea to lower the price a little bit. By doing this, you can open yourself up to many more potential buyers. As an example, a property was listed at $650,000 and after sitting on the market for a few months we lowered the price to $599,000. This reduction in price created a ton of buyer interest, which started a bidding war and ultimately, the property ended up selling for more than the original sales price of $650k. I can’t tell you how many times I’ve used this strategy to the advantage of my sellers.
At the end of the day, it is our job as brokers to get you the highest sales price possible for your property. Here at Matin Real Estate, we have the systems, tools and industry experience to ensure that our sellers walk away from their sale happy and with as much money as possible. So if you’re thinking about selling your home, head to our website for a free home valuation and one of the expert brokers on our team will help you get your property sold for top dollar.
We’re so grateful that you consider us your real estate experts here in Portland and Southwest Washington. Reach out to us today and we’ll show you how we get the job done. Thank you very much and I’ll look forward to talking to you soon!