Understand that the LISTING PRICE has one primary objective, to attract attention: It is not intended to be set in stone, and in many cases it is not even a good guideline toward the SELLING PRICE.
Some Sellers believe that by setting the LISTING PRICE high, they can always come down, and people will make an offer anyway: WRONG! Buyers will just bypass the property and look at houses that are within their price range. And six months from now, the Seller will slowly start lowering the PRICE, (this is called â€œchasing the curveâ€) and Buyers will be asking the question; â€œWhatâ€™s wrong with that house?â€ and â€œWhy has it been on the Market so long?â€
Other Sellers set the LISTING PRICE low, to attract multiple offers. (The correct strategy.) We are asked; â€œArenâ€™t you obligated to sell at this price if someone offers it?â€ The answer is probably not; for that to happen, you would first have to have only one offer, and secondly, the offer would have be exactly the same, down to the smallest detail, (please discuss this with your Realtor).
Another thought; Buyer will search for potential properties by groups; for example, $400,000 to $450,000, and $250,000 to $300,000. If your house is priced at $460,000 or $310,000, the Buyers will never see it. (something else to discuss with your Agent.)
Different Banks have different philosophies about pricing their properties: You cannot draw any conclusions without a good analysis.
Have your Realtor do a CMA, (Comparative Market Analysis) to help you determine your Offering Price. It is the surest way to determine the Market Value of the property.
It really does not matter if you are dealing with a condominium, a town home or a single family home buyers must understand the numbers and market surrounding that property if they are to make a fully informed and knowledgable decision. There is no way to answer that question without doing the research on a particular property as the metrics in each transaction are very different.
You will want to clearly define your unique goals and be set up with a game plan to succeed. Without one your chances of landing the right deal are pretty slim as someone who is better prepared will.
Interview at least three agents and of course Paradise Sharks would love to be on that list if you are looking for a property anywhere in Palm Beach or Martin County. Our passion is our customers and since we are a boutique firm we do not have franchise fees, brokerage splits and never charge our clients crazy off the wall charges like brokerage or transaction fees. Those savings are passed along to our customers so we can give true value most of our competitors can only dream about.
What we do promise is BIG customer service, BIG marketing and BIG value. Our programs like "New Construction Splash" are designed to save you money.
Call us anytime as we would love to save you money and exceed your expectations.
Paradise Sharks Real Estate
There is goo news for you and others looking to buy in the Northern Palm Beaches. The median single family home price is down 10% in the Singer Island area over the past 4 months (condo prices are also trending lower) and pending home sales are at the lowest levels we have seen in year. Inventory still at very low levels but up last month for the first time in 8 months. A well prepared buyer can find a good deal if they are looking in the right are and have the ability to act quickly.
These are the type of metrics I discussed in my previous answer that will have an effect on what to offer on any property and should be expressed to the seller. This is part f the negotiation process and sellers need to know the numbers to strike their best deals in any market.
For the latest pending home sales article from the Paradise Sharks check out our blow here on Trulia at this link;
Paradise Sharks Real Estate
What you need is relevant data.
What I prepare for buyers who chooose to work with me is a Market In A Minute report for the community and a CIS score for the real estate. What needs to be done is crystal clear.
However, most buyers need to 'burn a few' before they realize the data is true.
Take a look. http://www.Trulia.com/blog/AnnetteLawrence
Have your REALTOR prepare the same.