Three Reasons Not to Have Too High of a Selling Price
Everyone’s first instinct when selling a house is usually to price it fairly high. Occasionally a home seller will luck out and someone will sweep it off the market. But, for nearly 99% of homeowners, pricing a home too highly can actually give them a lot of trouble when it comes to selling their home. There are a few reasons you need to be careful about your selling price, and here are three of them.
1: If you start out high and then drop it, your house is no longer a “hot commodity”
Once people see you have dropped the price of your house, they will no longer view it as a home that is high-demand. It becomes “old news” and people will assume it has been on the market for a while and that it’s not selling for a reason. People will only see it as back on the market as opposed to being newly for sale – this always decreases the amount of interested buyers.
2: Potential buyers will no longer be competitive about your home
People always want what they can’t have – this even applies to huge life-altering decisions like buying a house. If you lower the price of your home, then potential buyers will assume you are having trouble selling, and they will not be as aggressive about making an offer or even buying your home. They will think they have plenty of time to decide, so your house could end up sitting on the market for even longer than you anticipated, because potential buyers are taking their time deciding.
3: You will most likely get lower offers than you request
When potential buyers think there are other people interested in your home, they are more likely to be aggressive in terms of meeting your price or even offering more than you requested, in order to beat out the competition. But if they see that your house was at a high asking price and you’ve lowered it, they’ll know you are struggling to sell it, and they will most likely force you to settle for a lower price than you would have even received at a normal price – because they know they can.
It’s understandable that your first instinct when selling a home is to have a high asking price – you’ve probably put a lot of money, effort, and time into your home, and you want to price it at the right value. But as you can see just from these 3 reasons out of many, pricing your house to high can actually lead to an even lower price than if you would price it at a normal number. So make sure to check with your real estate agent and do your research when it comes to pricing your home for sale. Questions? Email me at firstname.lastname@example.org!