Every real estate agent knows that if a seller overprices their property, it will take longer to sell and will almost always sell for less money. So why do so many sellers ignore expert advice and overprice their homes anyway?
They’re hoping to defy the laws of economics.
And typically, their excuse is either:
- Belief their home is superior to other similar homes.
- They feel entitled to make a profit on the purchase, improvements or repairs.
- They believe buyers will want to bargain with them.
- Rumors of soaring prices or a neighbor's huge sale price.
- They want or need the money.
Think of your house as a product to be sold - much an item on a store shelf.
The most important factors to consider in pricing are:
- comparable home sales in your location,
- condition of your property,
- current market conditions.
The reasons why overpricing fails are: