Clark Howard(Consumer Issues Guru) talks about pricing a home to sell!

Lee’s Notes: My father was telling me about how to sell homes in a down market over the weekend.. Thanks Dad!!! /tease He told me that Clark Howard had been on the radio and said the below.. So I decided to find the info and link to it… Side Note: I ran into another multiple offer situation this past weekend(I was representing one of the buyers). If a home is priced right, it drives the value of the home up, and it sells much quicker! HOMES ARE SELLING!!

Oddball pricing strategy works in down real estate market

    Selling a house is a turbo-challenge right now. Clark’s mom recently put her condo on the market. Figuring out the price point was the most difficult part. Everyone’s perplexed by the question of price point these days. Here’s some advice: Don’t look at comps from a year or 2 ago; look at today’s comps. Know that if you overprice, you’ll likely get less in the end than those who price realistically upfront. You lose your initial marketing thrust when you overprice upfront. Listing your home at a realistic price will lead to less angst, a shorter time on the market and possibly a better price.

      Clark and Christa have a mutual friend who was selling her home last year. Clark advised the friend to price her home at a totally oddball figure, something that ended in $XXX,552.27, for example. Everyone laughed at him at the time. Now financial writer Jonathan Clements reveals this pricing strategy actually works. When you throw out an oddball figure, people think 2 things: First, that it’s a bargain. Second, that’s there is carefully thought out reason behind it. But whatever you do, do not overprice your home! Lee’s notes: I can see this. If I see an oddball number in the back of my head I think to myself.. That must be the minimum they need to sell for.. However, I generally price on the price ranges, and try to get into 2 price ranges.  If you are cruising the internet looking for a home, the searches generally give you price ranges(300-325k, 325-350k, etc). So I will list a home at $325,000.00. That way if someone is looking in the 300-325 range, and the 325-350 range, my listing shows up twice.. There is other factors, but I digress.

As always, if you like what I write, and you or someone you know is looking to buy, sell, and or invest using a great realtor in central Indiana, or anyplace else for that matter. Please feel free to send me the persons name, email, address, and or phone number and I will be happy to help them, or refer them to someone else who can… In the process, I may earn a referral fee, if i cant help them myself!