By Russ Meyer, Nebraska Home Sales Associate Broker
Bob Barker may be the most famous person on television for pricing everything from cars to spaghetti and hair dryers to vacation packages on the Price Is Right. I may not be Bob, but I help sellers price houses. It’s one of the most important things I do. Why? Accurately priced houses will sell faster and often for more money than an overpriced or underpriced house.
Right now, the majority of the homes in Lincoln are in a seller’s market. One of the results is that sellers often want to overprice their house as soon as they list. They have heard that Lincoln has a great market. It does! They have heard stories of houses going for $20,000 over asking price. Sometimes they do!
Houses are going fast. The houses that are going fast are priced correctly. As a REALTOR with years of experience and hundreds of transactions under my belt, I’ve seen some significant transitions in our market. One thing that remains the same is that an accurately priced home in the Lincoln market is going to sell faster and often times for more money.
What happens when you overprice or underprice a house? People just won’t come see it. They’ll look at the pictures on their favorite website or email search from their agent and say, “They want WHAT for that house?” They’ll choose not to go.
An underpriced house can indicate a distressed property. It is (or might be) a house that the seller knows has problems that buyers won’t want to deal with (read expensive or time-consuming to fix).
How can a buyer perceive if a house is not priced correctly? As buyers they are taking the time to learn the market. As they look at homes with their agent, they start learning what kinds of houses and prices fit what they are looking for and the parts of town they’re looking in. The houses that are not priced right begin to stand out as outliers. As a Realtor, I help my buy side clients price out houses they are interested in so we know if we getting a deal or paying fair market value.
If you’re considering selling, call me. Let’s take Bob Barker’s lead. Let’s Price It Right!