Tag Archives: market

In Investing, Price Matters!

9 Aug

Written by Rick Pridemore

With the increase in buyers searching listings on their own, using the internet and other tools, care must be taken to understand how pricing impacts the visibility, and thus selling opportunities, of your property.

In the old days, when buyers had to rely on lawn signs, they typically would drive around neighborhoods looking for attractive houses.  When they found one, they would call the listing agent and request the price.  The listing agent would spin their best sales pitch before giving the price.  After getting the price the prospective buyers would decide whether it was in their price range and if so, schedule a showing.  In this scenario, the exact listing price is meaningless in attracting the buyer’s inquiry.  Regardless of whether the house was priced at $299,999 or $399,000, the initial call was generated by the neighborhood and curb appeal. This system forced buyers to call on properties regardless of the listing price to get more information.  This gave the real estate agent an opportunity to sell the features of the property before giving the price.  It also exposed buyers to a wider price range because the only indication they had of the potential price of a home was the general market area.

The internet, however, has changed everything.  Buyers can now search for properties based upon city, school system, bedrooms, bathrooms, architectural style, and a myriad of other criteria.  Price, however, still remains the number two search parameter, second only to location.  Because of this, you must price your home very carefully to ensure that it shows up in the greatest number of searches, and to the correct audience.