There are different philosophies on pricing, especially in this Market !
Some say be the lowest price against your competion, but I relate Home pricing to another "Big Ticket" purchase such as a car....................
No matter how low you reduce the price on the Sticker, are you as a Buyer going to pay full sticker price, especially in such a strong Buyers Market ?
However, if you really need to sell...
You have to stimulate curiosity & interest...Dare to be different!
Asking price: $174,900
Offer a temporary interest rate Buydown for qualified Buyers.
If they pay full price, then you fund the 2-1 Buydown at closing: You net $171,413
With 5% Down: $8,750
Year 1: Buyer pays $746.54 (Principal & Interest)
Year 2: Buyer pays $842.37 (Principal & Interest)
Year 3-30 Buyer pays $943.95
We can show that they are technically paying $140,834 for your home in the first year
and $157,789 the second year...This helps them to ease into homeownership comfortably and confidently.
Please let me know if you need help.
This is a conversation you should be having with your real estate professional. Our recommendation is it's important to get a real understanding of the local market. Because of the stiff competition offered by "short sales" and "foreclosures" these are not times to be playing games with pricing.
Homes that are selling are priced, in step with the real estate market, offering buyers a value that attracts their attention. Agents will tell you how critical it is to have listings priced right immediately. Once a home sits around for a while it loses it appeal and is shown less and less.
Price it right and sell it.
Buyers are looking for value. The homes that offer the most value will sell in the shortest time for the highest price.
I would strongly suggest analyzing your move, both from the selling end and purchasing end. The points I would study carefully:
1. What can do you do to have your home project the most value? Comps are comps, how can you make your home STAND OUT when it hits the market?
2. Look at the comparables VERY CAREFULLY. I'd identify the homes and go look at them so see exactly how good your competition is.
3. Analyze the new home purchase/move process. You do not reveal the net estimated proceeds, but in this economy I am amazed that you are able to get a Realtor to provide with an estimate within $2,000, plus or minus. that is less than one percent. What happens if they are WRONG?