The Power of Intelligent Pricing “Being “IN” vs. “ON” the market”
In my experience as a Realtor in the GTA, I have sold many properties. The ones that are well priced sell almost instantly, often at current market value or over the asking price, while others priced above what the market is willing to accept take much longer to sell and, usually, after a price reduction.
As it is the seller who has final say about the list price, I advise all my clients that it’s always better to be “in” the market than “on” the market, but not everyone understands why. The reason is this. Realtors searching your listing look at the DOM (Days On Market) and when an overpriced property sits too long unsold, it immediately communicates that “something is wrong with this property”. This leads to two possibilities – either they lose interest or they are now looking for a bargain. The longer the DOM the greater the negative stigma attached to your listing and the greater your disadvantage. Lowering the price may renew faith that you are motivated, but you are no longer in the driver’s seat as those red flags have been flown. It can be extremely dispiriting and frustrating to you as a seller when the market doesn’t reflect the value of your listing.
That’s why you should only list your house if you truly intend to sell it. Sellers who list at an unrealistically hopeful price to “test the market” might as well just buy a lottery ticket as the chances of selling are slim. Meanwhile it creates a record, the DOM, as an unsold listing and labels you as an unmotivated seller. In the event your home does not sell, a new listing down the road can help, especially if it is at a lower price or following upgrades or renovations, but the history in MLS archives will always exist for Realtors to view and note to their clients.
If you want to sell your home this spring, put your Realtor to work to obtain a CMA, review and consider all the homes sold and currently for sale in your area, and make an educated, realistic decision on listing price based on fair market value. The end result of intelligently pricing so that your listing is “IN” the market is almost always a quick sale at top dollar.
Remember, I am only a phone call or email away to answer any of your questions and to help you start planning for any of your real estate needs. Feel free to contact me at 416 275-5980 or email me at www.tonyazzopardihomes.com. you can also visit my website at Feels Right at Home