If you’re a home seller, here’s what it means to price your home to be in it to win it.
As a seller, how can you price your home to be in it to win it in our market?
To answer that, let’s first examine how buyers pick the homes they want to see and purchase. If a buyer is looking online at 10 available homes that are comparable to yours, they’ll choose three to five to look at in person based on several different factors (price range, photos, how emotionally appealing they are, etc.). If your home is one of those homes, you’re in the market. If it’s not, you’re out of the market. If your home is out of the market, you need to make adjustments to it to put it back in the market.
Out of those three to five homes that are selected to be shown, only one or two per week will actually go under contract. So, out of those 10 homes that the buyer originally picked to look at online, your home needs to be the best of the bunch if you want to get it sold.
If your home’s getting showings but not getting offers, you need to make a price reduction. One mistake you need to avoid in this regard is incremental price reductions. If you do that, you’re chasing down the market, and you end up in what we call “no man’s land.” When you’re looking at comparable homes, you don’t want your home listed at a blend-in price where all the other homes are listed. You want to price your home to be ahead of the market—that’s how to be in it to win it.
You want to be ahead of the market—that’s how to be in it to win it.
Finally, you need to make sure your Realtor is sending you auto-comps while your home is listed so that you have your pulse on the market at all times. I recently had an expired listing appointment with a seller whose home was overpriced and her Realtor tried chasing the market down by reducing its price in $25,000 increments. It shouldn’t be surprising, then, that this person told me that the only time she saw comparable homes for her property was when it was first listed nine months ago.
If you have any more questions about how to price your home to be in it to win it, don’t hesitate to reach out to me. I’d be happy to help you.