What’s it worth to you to sell quickly?
Zillow has figured it out. If you price your house right at the ‘sweet spot’ — on trend with neighborhood averages but not overreaching – your house was likely tosell quickly and for just 1% below the asking price.
But if you price the house on the high end figuring that you can cut the price, you can count on it. Zillow’s analysis found that higher priced houses lingered on the market for over two months – and eternity in today’s seller’s market –and suffered price reductions of 5% or more.
It’s not just that time is money. It’s that money is money. Stretching for a higher price doesn’t work, not when buyers can immediately see the selling prices of nearby houses.
And even if the buyer does throw common sense to the wind and give you a top-end price, it’s possible that her lenders won’t agree. If the appraisal comes in a little lower, you’ll have to renegotiate the price, or the buyer will have to throw in more cash. Neither are good options. It’s smarter to aim for the sweet spot to begin with.