Ask Justin Show | Jan 9th 2020

Join Justin on the Ask Justin Show as he explains the science behind pricing your property and why you can never underprice it. Make sure to subscribe to our channel for new video content! Please reach out to us if you, your family or someone you know is interested in buying, selling, or investing in real estate in San Diego. Make sure to subscribe to our YouTube channel for more real estate tips and content.

 

 

One of the questions I get a lot from sellers before we position their home on the market is, should I price my property a little bit higher and leave room for some negotiations? My response is this...that's actually one of the biggest myths in real estate. It's the biggest myth in real estate because while you think you're leaving room for negotiations, you're really driving away potential buyers, potential showings, and then, of course, potential offers. The longer your property sits on the market place the more of a stigma it gets. More and more people will drive past it or see it online and pass it up rather than schedule a showing. Or even worse they may think, hmmm, it hasn't sold for 30, 60. 90, 120 days, there must be something wrong with it or the seller isn't realistic.

Of course, then, you start to play the waiting game, the price reduction game, you fire an agent, you hire an agent, you go through that whole process all because you missed the target price the first time. Here's the thing, you never have to worry about underpricing your property. Let's run through an example. Let's presume you put your home on the market for a heck of a deal and you get multiple offers on that home. What do you think you and your agent are going to do in the scenario? You're going to go back and re-negotiate at a price that's over your initial asking price. Typically you can go back with a counter and do a highest and best and maximize every penny out of the market place. You'll be able to extract every dime that's there and then you'll hold all the leverage on the property and be able to make a decision based on multiple offerings.

So to recap, make sure to get with your agent, price it right the first time, maximize your leverage and that way you'll be able to get your home sold in the quickest amount of time, least amount of headaches, and highest value. I hope that helps! If you, your family, or someone you know is interested in buying , selling, or investing in real estate in San Diego, make sure to reach out we would love to be a resource for you. Please subscribe to our YouTube channel and social media sites for more real estate content and tips!