If you want to get top
dollar on the sale of your home, overpricing it is a dangerous proposition. As a home owner, it can be tempting to think that if you price your home above market value, a listing agent’s superb marketing plan can still find you that one perfect buyer. Unfortunately, buying into this notion might cost you a great deal in the long run.
30 years ago, home buyers were not nearly as informed as they are today. The internet has changed everything. Statistically, as many as 90% of home buyers start their search online. These buyers have access not only to all of the properties that are currently on the market, but also to the most relevant past sales data. This means that it’s extremely unlikely that a buyer won’t have done their homework when it comes to researching how effectively you’ve priced your home.
I work with lots of buyers, and one of the most important services I provide them with is doing a detailed comparative market analyses on the properties they’re thinking of purchasing. In real estate, the numbers never lie. The list of “comps,” (comparable sales) that I provide to my buyers paints a very clear picture of approximately how much a property is worth. Even unrepresented buyers have access to all of this information, but without experience and without the best resources at their disposal, it would take them many more hours to do this research.
If a listing agent has done a great job with their marketing and gotten lots of buyers interested in the property, that’s great, but it still doesn’t change the fact that all of these buyers have access to the same sales data, and no one is going to want to overpay for the property.