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Monday, August 12, 2013

Home Sellers: Overprice or Underprice your Home on the Real Estate Market?




It's a seller's market with buyers overbidding on properties and this trend doesn't seem to be dying down.  When setting an asking price, homeowners are coming across two school of thought:  

1) OVERPRICING 

Homeowners and agents believe that a higher asking price will draw higher offers from potential buyers.  This technique works when inventory is low when there is little "ACTIVE" homes on the market.  

2) PRICE BELOW NEARBY PROPERTIES

Homeowners and agents believe that pricing homes below nearby properties by 5% ot 10% will create a bidding war.   This technique works great in a heated market and for buyers who are looking for a bargain.  The bidding war has seen a potentially of 10% or 15% to the sale price! 





Which technique is best? 

Every house is different and discussing with a Local Realtor like myself will help you determine with strategy works for your home and you.

For a complementary home value report and our marketing strategies, contact us at www.BetancourtRealEstateGroup.com.  We cover Encino, Sherman Oaks and surrounding areas.

Source: WSJ.com
Graphs and Charts: Redfin.com

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