Agent urged us to underprice our house now we regret it

[Anonymous]

Anonymous wrote:I think underpricing is just supposed to mean underpricing the market but not pricing below what you would accept.

That's a good point.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:Are you sure it’s not priced correctly? Do you really think you’d get more offers if it was priced higher?

Yes a very similar house same layout a few doors down sold for 75k over our list price last month. That one has a bonus screened in porch so we mentally discounted 25k from what we would expect

A screened porch costs $40k bare bones.

Wut? Not at all. Cut the price in half for a screened porch with lights, fans, and fully stained.

+1
40k? Absurd.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:Are you sure it’s not priced correctly? Do you really think you’d get more offers if it was priced higher?

Yes a very similar house same layout a few doors down sold for 75k over our list price last month. That one has a bonus screened in porch so we mentally discounted 25k from what we would expect

A screened porch costs $40k bare bones.

It’s a very small one so we thought 25k was reasonable

I’m pricing a small screened porch now. Starts at $40k.

[Anonymous]

Your agent screwed your OP. I’m sorry! I think this is a quick sale tactic for agents. They win either way. Either they low ball the price on your house and sell
It fast because it’s underpriced, or they do end up with a bidding war. It’s a very risky approach for the homeowner, especially in August, but a win either way for the agent.

[Anonymous]

Anonymous wrote:If your house is such a good deal 50k under what it’s worth I feel like you would’ve gotten more than 1 offer. Maybe not a bidding war but at least 2 offers to consider.

This.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:Are you sure it’s not priced correctly? Do you really think you’d get more offers if it was priced higher?

Yes a very similar house same layout a few doors down sold for 75k over our list price last month. That one has a bonus screened in porch so we mentally discounted 25k from what we would expect

A screened porch costs $40k bare bones.

It’s a very small one so we thought 25k was reasonable

I’m pricing a small screened porch now. Starts at $40k.

+1. I don’t think the folks saying $20 live in the DC area or have built anything lately.

[Anonymous]

Anonymous wrote:If you were to relist at a higher price future buyers will see the lower list price and ask why you increased by so much without adding extra value to the home. I would never offer more than the original list unless up against competition. Even if you are not greedy, your moves will come across as such. Have your realtor give up some commission and take the lower offer.

This. Even if you delist you're kind of screwed. I think you'd need to be off market for at least a year before you could relist at a higher price.

Also agree that you can't base the value of your house on one comp. The truth is that if your house was worth $50k over asking, you would have gotten more than one offer in a week.

[Anonymous]

Middle of summer there was a period of speculative frenzy but activity has started to slow in the last couple weeks. If you like the new house, I'd take the offer and move. Optimism aside, a recession can hit at any time and freeze up the market.

[Anonymous]

Are you in the DC area?

[Anonymous]

Impt q: how many people have actually seen the house to produce this 1 offer? I would be concerned that lowballing this far is sending the signal that there is something major wrong with the house, and you know it.

Post your listing.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:Are you sure it’s not priced correctly? Do you really think you’d get more offers if it was priced higher?

Yes a very similar house same layout a few doors down sold for 75k over our list price last month. That one has a bonus screened in porch so we mentally discounted 25k from what we would expect

A screened porch costs $40k bare bones.

It’s a very small one so we thought 25k was reasonable

I’m pricing a small screened porch now. Starts at $40k.

+1. I don’t think the folks saying $20 live in the DC area or have built anything lately.

Agreed. $15K buys you a deck in DC and surrounding area.

[Anonymous]

I agree with others. If it’s really a deal, you would have more offers. That said if you were not willing to sell at that price, you shouldn’t have listed at that price unless you listed early spring.

[Anonymous]

Anonymous wrote:Well, we have a contingent contract on another house. Our plan was to give it a couple of weeks more through Labor Day and if no offers at the price we want take it off and lose out on the new house. Would best strategy be to delist and quickly realist at our min price and see if any takers on next 2 weeks?

And he/she likely priced the house where they did due to your circumstance with the new house.

You sound like you don't know what you are doing, OP.

P.S. It's AMAZING how many people thing UPPING the price is a good strategy.

[Anonymous]

Anonymous wrote:

Anonymous wrote:Well, we have a contingent contract on another house. Our plan was to give it a couple of weeks more through Labor Day and if no offers at the price we want take it off and lose out on the new house. Would best strategy be to delist and quickly realist at our min price and see if any takers on next 2 weeks?

And he/she likely priced the house where they did due to your circumstance with the new house.

You sound like you don't know what you are doing, OP.

P.S. It's AMAZING how many people thing UPPING the price is a good strategy.

This thought occurred to me as well. Your agent wanted to price to sell, bc you don’t have a couple of months to wait around. And we’re heading into Labor Day.

We bought in May, and there were several other houses that came on the market in succeeding months/weeks in our new neighborhood that I think were priced in response to our transaction. Three of them sat through price reductions, perhaps bc the spring market was over. As an example, I liked one of the houses that came on the market later....but we’d already bought a house. That house ended up closing more than 150 k under asking...

[Anonymous]

I like to get 3 different agents to price my house before selling.