Anonymous
Post 04/17/2014 07:25     Subject: When should you do a price drop?
Oh and if it is that home I think it's underpriced and therefore some may think something is wrong with it. Further reduction will just confirm that and your bids may be even lower.
Anonymous
Post 04/17/2014 07:24     Subject: When should you do a price drop?
You sound like a home just went on the market in my neighborhood in 20781. I think it went on the market too soon and should've waited until mid May to early June. Your potential buyer pool for that area isn't as active until about June. The ideal timeframe would've been after December because the east side will be done building homes and you won't be competing with new builds. Your realtor also should've referenced the new whole foods in the listing.
Arts District and University Park are waiting to list until EYA is done on the east side and WF has come out of the ground. You're leaving money on the table.
Anonymous
Post 04/16/2014 21:27     Subject: When should you do a price drop?
Anonymous wrote:OP here- I mean this as a general question. I don't want my specific place found and discussed on han DCUM.

Is it better to do a 10k price drop after a month or a 5k price drop after two weeks? Which would get the most interest?


Anything less than a 10k drop is a joke.
Anonymous
Post 04/16/2014 16:14     Subject: When should you do a price drop?
Hang in there OP. If the comps support your price and there are no other concerns (from your realtor or comments from buyers) just wait a bit longer.
Anonymous
Post 04/16/2014 15:57     Subject: Re:When should you do a price drop?
Anonymous wrote:
We received one offer right off the bat, but another "almost offer." The comp they used was for a smaller unit with less bathrooms that does consistently sell about 30k less than mine. There are numerous comps now for my exact price since like I said 5 sold at that price + or - 5k. We couldn't get the offer up any higher.

I suppose the market just got over saturated quickly and I just need to be patient. My place is still valued a lot less than it sold for in 2007.


The almost offer doesn't count unless it came in written. Let it go. It doesn't mean anything. The other people were shopping out of their price range. Be patient.
Anonymous
Post 04/16/2014 15:55     Subject: When should you do a price drop?
OP, we need zip to determine how hot the area is and a % reduction to advise you any further. I am seeing drops of 7-8% in hot areas if the house does not sell in 30 days.
Anonymous
Post 04/16/2014 15:55     Subject: Re:When should you do a price drop?
Anonymous wrote:I wouldn't drop the price. In your price range to really make a difference you are going to need to drop below one of the search brackets, for example if your home is priced at $399K, you would need to drop to $374,999 to make a difference and to get a new set of viewers. Personally I would say be patient.

But, I will say this, if you've received a few offers and they've all been consistently $35K less than yours, what comps are they using? Are they using the houses which sold in your neighborhood and are the same model? Could your realtor not get any of these offers up? Are you countering on the offers? Never be insulted by an offer, always be willing to negotiate.


We received one offer right off the bat, but another "almost offer." The comp they used was for a smaller unit with less bathrooms that does consistently sell about 30k less than mine. There are numerous comps now for my exact price since like I said 5 sold at that price + or - 5k. We couldn't get the offer up any higher.

I suppose the market just got over saturated quickly and I just need to be patient. My place is still valued a lot less than it sold for in 2007.
Anonymous
Post 04/16/2014 15:49     Subject: Re:When should you do a price drop?
I wouldn't drop the price. In your price range to really make a difference you are going to need to drop below one of the search brackets, for example if your home is priced at $399K, you would need to drop to $374,999 to make a difference and to get a new set of viewers. Personally I would say be patient.

But, I will say this, if you've received a few offers and they've all been consistently $35K less than yours, what comps are they using? Are they using the houses which sold in your neighborhood and are the same model? Could your realtor not get any of these offers up? Are you countering on the offers? Never be insulted by an offer, always be willing to negotiate.
Anonymous
Post 04/16/2014 15:43     Subject: When should you do a price drop?
In my opinion, $5-10K is not a type of drop that would help you sell. That small amount is not going to change people's perception of your home or its value. 20 days is not that long of a selling period, and certainly not long enough to start panicking. If you see similar homes priced for less and selling, then you need to worry.
Anonymous
Post 04/16/2014 15:32     Subject: When should you do a price drop?
How does this happen in this market??

I'm out in the sticks and houses don't last a weekend and every single one this winter and spring has had a bidding war for it.

There must be something very wrong going on. Have there been a lot of pets in the house? Cat urine will kill demand.
Anonymous
Post 04/16/2014 15:01     Subject: When should you do a price drop?
your realtor should be contacting each and every realtor who shows the house for feedback. maybe your house smells bad or there is some random small fixable thing that is a turnoff.
Anonymous
Post 04/16/2014 14:37     Subject: When should you do a price drop?
If you aren't moving down a price search level ($415,000 to $399,900 for instance), you will not see much more interest so I would go with the smaller drop and see what happens.