The current scenario in the estate market is a very precarious one. There is cut-throat competition amongst the myriad house sellers while the buyers are fewer. Hence, the importance of right affixation of sale price cannot be undermined. However, this is an intriguing issue and a number of prospective property sellers (especially the first-timers) are often in a fix while working out the initial listing price.
In this regard, there are several myths that are plaguing the economy.
Myth 1: House prices can be adjusted
There is a general notion amidst the prospective sellers that they should offer the house at a high price which, if required, can be adjusted later on.
Truth: It is a mythical concept and a misguided notion which infests, particularly, the amateurish estate sellers or agents. Once you have put a high price on your house, it’s not easy or feasible to slash the price later on, in case, you find it difficult to find a buyer. Though house prices can be adjusted, it weakens your case as a reputed seller. A question mark is also put over the quality since your act of price-slashing may be seen as your desperation to dispose off a property which is not fetching any buyer.
Myth 2: Attractive advertisements can pull in many buyers even at high listed prices
Another myth that haunts the society is that some sellers feel that showy & prominently visible advertisements can lure in a number of buyers. Hence, even if you affix a high sale price, the house can be easily disposed off.
Truth: This is one of the major myths. Though it’s true that some advertisements may catch the attention of a house-hunter, ultimately, they buy those houses that are recommended to them by their house agents.
Hence, it is important that you can catch the eye of the reputed agents. In general, your personal listing agent needs to find some great buyers. But since there are a number of houses put for sale in this competitive market, your house needs to perfectly fit into the buyers’ requirements in order to get him all excited. Location, size and condition of the house are not in your hands. But the all-important factor ‘price’ is something that you can exercise at will. If your house is over-priced then the agents wouldn’t be keen to even consider it since they are bound to find dozens of similar properties at lower prices.
You may be ready to negotiate the prices in your mind. But that mindset doesn’t work since the buyers (or their agents) will shortlist only those houses which have the best initial listed prices. They won’t bother to get into a negotiation with you since they will just move on to other properties available at cheaper prices.
Conclusion: So, it will be imprudent to put a high sale price on your property.