There are several strategies we use to market your home correctly. We always rely on the CMA (Comparable Market Analysis) but getting the price right to get the most buyer eyes on the property is key. One that is incredibly important but gets lost in the conversation is the Pricing Pyramid.
Using the Pricing Pyramid
This strategy discusses the risk of pricing your house and the number of buyers that will look at your house. In general, the higher you price your home the smaller the buyer’s pool. Sometimes you may have a house that is hard to comp or has significant differences and we may decide to price higher with the agreement that we will lower the price if an offer or traffic is slow after a couple of weeks.
Sellers will get an appropriate list price at the current market value drawing in roughly 60 percent of active buyers. Remember the buyer’s agent and buyer have researched market value as well. According to the National Association of Realtors®, the result of that is 100 percent of the asking price with 29 percent asking over.
If you price 10-15 below market value, you increase the buyer pool to 75 – 90 percent more according to the pricing pyramid. When we have an unusual house or few comps that is a sound strategy.
I am always available to discuss the market, selling your home, or anything real estate. Let me know if you would like a free CMA of your home. We can visit over coffee or I can do a walkthrough of your property at your convenience and discuss the many options you have when you list your home.