Three are three main criteria buyer’s use to search for home, they are price, then location, then size, in that order. Just as location is the key determinate of market value for the seller, price is the key determinate a buyer uses to search for a home. Sellers who believe they can overcome this hierarchy of buyer needs because they believe their home offers more amenities that help justify their overpriced listing are on the fast track towards becoming an expired listing.
Even if your home is located within the preferred location that a buyer would truly like to live in, and it is within the particular size range of home they want to buy, and it’s upgraded to the hilt, if the buyer can’t afford it, they won’t be looking at it. To receive an offer you must make the showing list. And to make the showing list, you must be priced correctly.
Expert listing agents like me know how to estimate the correct market value for a home. Watch what happens as our local market continues to weaken; all of those newly licensed inexperienced agents who got into the business to chase what they considered to be ease money will drop like flies. Read Rachel Osterman’s article in the today’s business section of the Sacramento Bee about real estate agents and the big shakeout that’s coming. Seller’s who list with an agent who hasn’t experienced the kind of market we’re in right now are in for a rude awakening. Pricing your home at market value is still the best way to call out to interested “Polo’s.”