Every seller of every home in the history of mankind, it seems, has had the nicest home in their neighborhood. Nine out of ten of them "know" that their house is worth more than the others that have recently sold, "even if they have granite and updated appliances."
Image(s): FreeDigitalPhotos.net
I have had to master the art of laughing on the inside and keeping a straight face. Sadly, most real estate agents have not studied the effects of overpricing a home. The standard routine for average agents is to price a home wherever they need to to get the listing agreement signed. Then, they hope to get price drops over time. While market shifts can cause a need for a reduction at times, this should not be routine. A great agent will do the research, know the market and have experience to price the home accurately in the beginning or not market the home for sale at all.
Ken Johnson, Ph.D. makes this point very well in the blog entry linked below.
Harmful Effects from Changing the Listing Price?
Todd Tramonte
The Todd Tramonte Home Selling Team
