Difference Between $93,900 And $89,900
From a buyers perspective, is there a huge difference between these 2 prices? I have a house listed at $93,900 and am not getting many showings. My agent said that buyers see a huge difference between a price that starts with a 8 and one with a 9. That $4k would be a big chunk of my profit though, assuming I even make one on this property. What do you think? I would hate to lower the price and still not get many showings.
Hey thanks
There have not been many agents in there but the ones that have said the price is good. A couple have made some suggestions and I have made some changes. 1 agent mentioned the difference between the 80s and 90s to my agent and he relayed that to me and then I asked here. I guess in our MLS, 70% of the homes are listed between $75-$100k so there is competiton.
Throw in some form of incentive?:
Flat screen? (might be too pricey, but better than $4K)
summer of lawn care?
Health club membership?
1 or 2 payments?
Seperate yourself from the competition.
I told my agent I was thinking of picking up some closing costs. He said that instead of doing that or giving away anything else or even giving a bigger % to a selling agent, that he would just reduce the price by that amount. He said prices are so close here that reducing the price will go further than any other incentives. I hope hes right. On a side note, I offered a 42" plasma TV on a house I was selling a couple years back, when they were still pricey. That didnt go over well. No-one really cared about it and it made the negotiating a little confusing. I also think its a good idea, but it just didnt work for me.
It sounds like your agent does not want to be creative. The agent only knows how to drop the price, not make the property more attractive.
What about a home warranty? I understand they can be had for ~$400 a year.
yfrkim - welcome and good info in your reply.
Jim
Thanks
No, this agent is the one I purchased thru, not the highest listing price. He had a broker open house and some other agents have been in and they all said price is good. Actually what they said exactly is "the price is good, I just dont have any buyers right now". So maybe our city is just really slow, I dont know. Which brings my back to wondering if lowering the price will bring in showings or not. Oh thats right, I did lower on friday from $93,900 to $92,900. I dont know if that will help our not.
Bill - Just curious. Did the price drop help? Getting any nibbles? Maybe you can post some pics and the folks here can critique and advise. Kim
Where are you in relation to comps? Are you below them? About the same?
The price drop to $89,900 has not helped. In fact I have had less showings. We have had 2 showings in the last 5 weeks. As far as comps, two properties listed at the same price sold in the last 6 weeks. A couple comps sold in the low 80s, and 2 in the high 90s. Of course I probably dropped the price at the worst time, just before thanksgiving, and now nobody seems to be looking here. My agent has 15 listings and says he has 2 showings TOTAL in the last 2 weeks.
hes with C21 so the normal services, newspaper, website, etc..
What is the average days on market for homes in your price range? If you dont know then ask your realtor. If the average is 60 days and its been thirty since you put yours on the market then I wouldnt worry. If its 30 and yours has been on for 60 then I would worry. Take a look at the homes that have SOLD and find out why they sold. Have the agent show you comps that have actually sold. Not homes that are on the market, but ones that have actually been bought. Too many times an agent just tells you a higher price your home should sell for so they can get the listing. Make him prove what he thinks it should sell for , dont just take his word for it. The bottom line is if you want your home to sell quickly then make it the best priced home on the market. So assume an identical home like yours is on the market for 200k. Put yours up for 190k. If you want it to sit awhile then put it for 200k, and if you want it on the market longer then put it up for 210k. Competitively priced is important. good luck