Short answer: Oh Geez, YES.
Allowing your clients to price their own homes isn’t the …smartest… idea.
Did you know that even in this market, agents arent being too smart? Some are letting their clients price their own homes.
One might think, that in this market, it would be impossible to price a home too high, what with the incredible demand we’re experiencing…and have been experiencing for many many months.
Reminder: the real estate market is not an eBay environment
But, it turns out that there is some psychology around eBay purchasing processes that exist in home buying as well.
If the home down the street sold for $50,000 over the asking price, to begin to list a house nearby at the sold price of the other, completely misses the point.
Some owners and some brokers are doing this. And it’s a disservice.
We must still price for the market, and then let the demand push the price.
We must recognize that most buyers wont choose the buy it now price on eBay, but will likely pay more than the buy it now (or listing) prices if they choose to engage in a bidding war.
Process…always the process
Your job as the skilled and knowledgeable broker is to educate your clients about this truth. Help them see and understand that buyers looking to purchase, especially in our competitive market, are savvy and doing their own homework around pricing as well.
Play to this truth and price accordingly.
It’s a solid strategy.
Get to the good data
Another “best bet” is to arm yourself with as much good data as possible.
Download your copy of the Metropolist Magazine today and get good, reliably sourced and explained data about the Greater Seattle area market now. Add value to your business by adding skills and knowledge to your brain.