Houses that sell over asking were priced wrong to begin with

[Anonymous]

Anonymous wrote:This house sold for $286,500 over asking. The pricing strategy seems to have worked well for them.

https://www.redfin.com/MD/Bethesda/5430-Alta-Vista-Rd-20814/home/10655942

How do you know they didn't leave money on the table? Maybe they would have gotten $1.5 (or even $1.6) if they priced it at that to start. The thing we know for sure is that by underpricing, the agent guaranteed they'd collect their commission check as quickly as possible.

[Anonymous]

Agents are human too and hesitate to price low when it comes to their own properties. It's human nature to feel your property is worth more, but research has shown that the best strategy is the one they apply to their clients, which is to price it just a little lower than they would initially have priced, based on comps. There's a sweet spot, as PP said - it needs to be enticing but not glaring, because anything glaring will make people think there's something wrong. Same as price cuts - one small price may pass muster, but a large one, or multiple ones, and you're toast. People will be convinced there's something wrong with the property. That's how we got our house with a seriously low-ball offer.


Your reasoning is wrong, OP.

[Anonymous]

Anonymous wrote:

Anonymous wrote:This house sold for $286,500 over asking. The pricing strategy seems to have worked well for them.

https://www.redfin.com/MD/Bethesda/5430-Alta-Vista-Rd-20814/home/10655942

How do you know they didn't leave money on the table? Maybe they would have gotten $1.5 (or even $1.6) if they priced it at that to start. The thing we know for sure is that by underpricing, the agent guaranteed they'd collect their commission check as quickly as possible.

Some sucker overpaid for that house. No one in their right mind is paying $1.6 for an old house in Alta Vista.

[Anonymous]

Why are you posting this, OP?