The second half of this video gets into price reductions during the selling season – the time when sellers run out of excuses for not selling, other than price.  You should try to sell before April, and certainly before May, because once we get into late spring, the backlog of over-priced turkeys will cause the remaining buyers to hesitate further.

My Pricing Rules-of-Thumb:

1. Anywhere, Any Time, Any Market Pricing Gauge:

A. If you are getting offers, then your list price is about right.

B. If you are getting lookers but no offers, your list price is about 5% to 10% wrong (too high).

C.  If you don’t have any buyers looking at the home, it has to be more than 10% wrong on price.

2. Buyers are addicted to the days-on-market statistic, which is out in the open.  They are subtracting about 1% from your original list price for every week the house is on the market.

3. As a result, sellers should lower their price by 5% every 2-4 weeks until they start getting offers.

4.  An exciting price creates urgency and enthusiasm among both buyers and agents.  Without it, your listing goes stale quickly, usually after two weeks – and then lookers dwindle down to just those occasional stops done by agents for comparison to help them sell the better-priced house down the street.

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Jim the Realtor
Jim is a long-time local realtor who comments daily here on his blog, bubbleinfo.com which began in September, 2005. Stick around!

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