The Problem of Over Pricing
- Agents will show your home to validate a better price for a comparative property other than yours.
- The property has a historically longer “market time” and, therefore, lower net $ to the seller due to accrued holding costs.
- It increases the property’s chances for lower exposure because most agents only want to show the very best options for their clients.
- The property can become lost in what is called the “computer shun”. Buyers qualify for certain price ranges. If you are above the upper limit on the computer home search, your home won’t even get considered.
- Due to the increased market time, the seller’s property runs the risk of becoming “shop worn”. Hence, when an offer is presented it is often well below what could have been if the property had been properly priced from the beginning.