Price my home below market value? ARE YOU CRAZY? Why listing your home low may be the right pricing strategy for you... and why it might not be!
THE PROS
- Your home will experience more showings
- Your home will sell faster because it is exposed to the right buyers
- Your home will not lose its “marketability”
- The closer to market value, the higher the offers
- A well-priced property may generate competing offers
- Real Estate professionals will be enthusiastic about presenting your property to their prospects
- There is always the risk that you receive one offer for at or under your listing price aka. The strategy has failed. In this case you can either work with the offer, or we take the listing down and re-list with a new pricing strategy.
- A low listing price can also signal to the buyer that the house has issues: “this is too good to be true” mentality.
THE CONS
This Graphic on the DOM (Days on Market) effect on the Selling Price indicates the larger buying pool for a Below Market Value home compared to the buying pool for an Above Market Value home.
As my dad would say: “You never get a second chance to make a first impression.” When I’m working with Sellers in the Blue Mountain and Collingwood area, we work together to create a pricing strategy that ensures their listing makes a fabulous first impression!
