This commonly asked question often leads to a frequent pricing mistake that seller’s often make. Some agents will give a higher than market evauation of your property in hopes that it will sway you into listing with them, but in reality the first 30 – 90 days on the market are the most important. Regardless if you hire the largest brokerage or the smallest brokerage, the market data they give you should all be very similar and no agent can get more money for your property based on current market data.
Buyers today don’t care in the least what Brokerage or agent has the property listed, all they want to know is that it’s available and at what price. Buyers are very well educated in relation to current market values and if they and or their agent feels that your property is overpriced based on current market data, they may or may not view it, but chances are that they will not make an offer on it. Which in the end, will lead to disappointment, lost market time and inevitably, price reductions.
A well priced home should sell quickly and should sell for close to the listing price. A seller who prices their home too high can actually be costing themselves more time & money than if they price it to reflect the correct market value based on a current, in depth market analysis.
An over priced property will only lead to months of stagnation on the market and huge disappointment for the seller who will usually do one of two things when the listing period expires, either take it off the market, or most likely, list with a high commission brokerage who will give the sales pitch that they are a big brokerage with hundreds of agents who will sell the property but inevitably demand that the price be reduced, possibly more than once or even several times.
Once the price has been reduced to market value, the property usually sells and they look like marketing wizards when in effect it had nothing to do with them or what they did, but everything to do with the correct market price and you end up paying an unecessary high commision and months if not a year or more of wasted market time.
So, in hindsight, it would be better to reduce the price with the low real estate commission brokerage and get the very same results and save yourself the agravation, extra maket time and most importantly, save yourself thousands of your hard earned dollars in real estate commissions.