Come on Down

As a kid I loved the game show The Price is Right. The excitement never ended from the time Bob Barker called down a new contestant until the major prizes were won in showcase. Showcase showdown was my favorite round. This is the game that occurs at the end when two players have the opportunity to guess how much vacation packages, cars, appliances and all sorts of other cool stuff cost. I scoffed at players who misestimated prices. At the tender age of 12, I was certain I could guess the right price, and angry nobody would take me to Burbank, CA so I could take a stab at it. Years later, I’m a real estate agent and my days of watching The Price is Right are long gone, but pricing a home in a competitive housing market is much like showcase showdown—if you don’t get it right, the game is over.

Pricing is the single most important factor when selling a home. I’ll say it again- pricing is the single most important factor when selling a home. Location is important, condition is important, advertising and promotion are imperative; but if a house isn’t priced properly and is entirely out of sync with what’s considered fair market value, it won’t sell. In fact, you’ve just done your competition a favor. Their buyers will think they’re getting a pretty good deal compared to your expensive home. In addition, the longer a house sits on the market without any offers; the more potential buyers begin to think there’s something wrong with the property. Have I mentioned the hundreds- if not thousands- of dollars wasted on advertising and promotion? If you’re a real estate agent, you’re foolish to take an overpriced listing; and if you’re selling without representation, you’ll be waiting a long time for a buyer. My advice- price it right!