Sellers, don’t wait too long to lower the price on your home. If you wait until your property is stigmatized to lower the price, it still might not sell at the new price. The best thing a seller can do is list the property at a good price, make it easy to show, always have it ready to show and don’t put roadblocks in the path of buyers.
I turned down a listing a couple months ago because the seller wanted to list at an unreasonable price. Of course, he found an agent who was willing to list at his price. Today, two months later, he lowered the price to my suggested list price.
Does that mean it will finally sell? Not at all. The problem with listing too high and then keeping it too high is that time clouds people’s vision. A property that sits on the market endlessly becomes stigmatized. Does that mean there is something inherently wrong with it? Not necessarily, but time on the market is the death knell for a good price at contract.
Ironically, if an overpriced house gets an offer it’s typically the best offer and it comes early. I’ve seen many clients blow the first offer off because it came in so early only to settle for an offer four to five digits lower later on. The price of a property is what attracts buyers.
I showed one today that is a minimum of $100K overpriced. My clients are qualified for the purchase, and they wanted to see the property in person to see if the extreme price was backed up by something other than a seller’s prerogative. It wasn’t. Sadly, it will sit, and if it sits long enough, it will become stigmatized.
Sellers, list at the right price. Make it easy to show. Take care of deferred maintenance before you list. Make sure it’s always ready to show, and then get out of the way and let the buyers line up.