Here is what ultimately happened to those listed homes:
Tim and Sue’s Home: $345,000 Comparable Home A: Expired
Comparable Home B: $339,000 (Reduced Price) Comparable Home C: $335,000 (Reduced Price) Comparable Home D: Sold For $325,000 Comparable Home E: Pending (Don't Know Sold Price Yet)
Comparable Home F: $326,000 (New Listing) Comparable Home G: $325,000 (New Listing) Comparable Home H: $319,000 (New Listing)
Tim and Sue now have the highest-priced home in the area in their price range. When a buyer looks at the comparable home prices, it is now the worst value proposition in the marketplace. Most sellers, like Tim and Sue, do not realize the market can shift so far so quickly. It cannot be stressed enough how important it is for you to price your home right the first time. Had Tim and Sue used actual recent comparable "closed" sales, their pricing would have been different and they would have sold quickly and for more than they ultimately got.
WHY SHOULD THESE STORIES MATTER TO YOU?
Do you see how important it is to know the true value of your home? Moral of the story: Anyone can lose money in the real estate market. A seller unfamiliar with the ever-changing market or doesn't know how to price a home properly risks selling the home for less than it’s worth or losing a sale. In most cases, sellers never even realize it. Pricing errors happen to private sellers all the time. Knowing the home’s true value protects you from settling for less money.
HOME SALE “HORROR STORIES”
111
Powered by FlippingBook