Some Quick Tips On Pricing Your Home For A Quick Sell

Is an item that costs $399 compared to $400 a great bargain? No exactly. But nonetheless, retailers have priced products just below a round number because, psychologically, $399 seems like more of a deal than $400, even if the difference is only a negligible $1. 

In real estate, the "99" strategy is almost always employed. For example, if a seller prices their home at $399,000 instead of $400,000, the $1,000 dollars that they lose will cover a portion of the buyer's closing costs, but in the buyer's mind they still think they are paying $400,000. Usually knocking off $1,000 doesn't seem to bother either the buyer or the seller.

Below are some pricing tips that may help you sell your home more quickly:

 

1. Appeal to the "Herd"

Given the high stakes of real estate, usually a buyer does not want to be the only one interested in a home. By pricing your property on the lower end of your home's value range, you could potentially stimulate interest among multiple buyers and create a herd mentality. This is also a good option for seller's who are under the gun to sell their property quickly.

 

2. Price the property so that it is found in real estate searches

Most buyers will tell their real estate agent that they are looking for a certain home at or under a certain price. Their agent may set up an automated buyer search in their local database for properties at the price in which the buyer is looking for. If a home is listed at a price above what the buyer is looking for, the buyer will miss it. 

 

3. Don't get too creative with your asking price

Often times, sellers will try and get creative with their listing price. I've seen sellers list their properties with weird pricing, such as $656,888 for a house priced between 600k and 700k. Such an odd figure calls attention to itself for no good reason, like a house that is painted an odd color. This could cause the buyer to become curious about who the seller is, and so on.

In my experience, it's best to keep the seller in the background. That's why we often times have seller's remove their personal items such as photos, diplomas, etc etc. 

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