We closed the escrow on Clemens today!
Bidding wars can typically go up to 10% over the list price. Even a novice agent can pull it off just by having their listing on the open market. But buyers get jittery going any higher than +10% and without having a great agent assisting them, their bidding tends to sputter out.
The last neighborhood sale was a model-match that closed for $2,060,000 the week before we launched, and because I wanted to be within $500,000 of the last sale, we decided to lower our original list price from $2,600,000 to $2,499,000 for Day One.
After the open-house extravaganza, we received SIX offers!
Having six offers meant that the airplanes flying over the house must not have been a bother.
Could the bidding get up to $3,000,000?
I thought it could if I was able to coax them into believing that was the true value. I sent this to each agent:
Attached is the sellers’ request for your highest-and-best offer.
Some explanation is due.
We deliberately low-priced this home to attract the maximum interest immediately.
1. We had originally signed the listing at $2,600,000 in December.
2. The zestimate on the day of MLS input was $2,719,300 (Zillow adjusts their zestimates to within a couple of bucks of the list price once a home is entered onto the MLS).
3. The homes at the end of Twain being built by Shea Homes will be in the $3,000,000 to $3,500,000 range, according to a neighbor. (I did not know that until yesterday).
Other premium homes:
I saw this one and while it was new it was jammed into the hillside with no view:
https://www.zillow.com/
This had a good ocean view looking south, and a premium location though a smaller lot:
https://www.zillow.com/
This is an old restaurant and good for nothing – just land value here:
https://www.zillow.com/
New but not much view – and close to freeway:
https://www.zillow.com/
https://www.zillow.com/
End result? I think I’m way under-priced!
Nobody has the big ocean view that Clemens has, and now there are several comps in the $3 millions!
Bid with confidence! No matter what the price, you’re not paying too much.
This is where we see the difference between the regular agents and the real professional salespeople, of which there were two.
Most agents will just forward my plea to their buyers, and let their buyers come up with a price.
The real pros will adopt my thoughts and make them their own. Then they will advocate for their clients, and for those buyers who want a guaranteed win, the agent will lay out a solid strategy that will swamp the boat and blow out all other buyers. It’s what happened here!
LP = $2,499,000
SP = $2,975,000 cash, 15-day escrow, waived all contingencies in the offer, and the buyer paid their buyer-agent’s commission.
That’s a winning strategy!
Some before-and-after pics here:
“SP = $2,975,000 cash, 15-day escrow, waived all contingencies in the offer, and the buyer paid their buyer-agent’s commission.”
WOW! Awesome job, Klinge Realty! 👏🏼