Author Topic: should I reduce the list price of my house for sale (realtor is pushing for it)?  (Read 623 times)

cooldude2001

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I recently listed my home in California for sale. In the two weeks that it has been listed, no offers have come in. My realtor has held two open houses as well. I priced my homes about 8% above the last sold home mainly because my home has several upgrades (kitchen, bathroom and more). My realtor has been telling me to reduce the listing price by 5% has he thinks it is overpriced. Given that my home is in a good neighborhood and there aren't too many properties in supply with the same specs as that of my home, I feel like the lack of strong interest/offers is due to the slow down in the real estate market in general due to schools being back in session. I feel like I should leave the listing price in place for a couple or more weeks instead of reducing it now.

Question:
Should I reduce my list price or how much longer should I wait?
Given that the Christmas holidays are only three months away, are we headed to slow market in general? When would the market pick back up - basically when do buyers start looking again for home purchase?

Any advice would be appreciated.

GizmoTX

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How badly do YOU need/want to sell?

Lowering the price in just 2 weeks signals that you are desperate & will go lower, IMHO. It costs your realtor very little to reduce the price compared to your return. On the other hand, leaving a price too high for a long period of time (months not weeks) could mean you miss buyers.

Were your open houses well attended & did you get good feedback?

cchrissyy

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California is a big place.  In my area, no offers in 2 weeks would mean something is very wrong, maybe with the price or maybe with the house itself. But maybe your area is different. Can you be more specific?

Frankies Girl

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If you have had no offers and very little lookers, then yes, you have it priced too high.

You hired an agent to sell your house, and they've given you their professional opinion based on the neighborhood and the upgrades/amenities in your house. It doesn't matter what you think it's worth, because no one else agrees with you. Stop letting emotion get in the way of getting this sold.

Lower the price.

I frequently have no idea what I'm talking about. Like now.

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matchewed

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Your price shouldn't be based on what upgrades you do but on the market. If you're getting no offers you're too high.

Finallyunderstand

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Realtor of 10 years here.   

Every seller I've worked with over those years thinks their home has something other homes do not.  EVERY SELLER.  I have yet to find a seller who says their home is equal to or not as nice as another persons home that is similar.

If your realtor is experienced, listen to them.  Sometimes you have to swallow your pride and listen to the market...(no offers)

Dicey

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Your house is only worth what someone else is willing to pay. Had you priced it well to begin with, you might have drawn multiple offers. That ship has sailed, due to your own stubbornness. Why did you hire a realtor if you're going to ignore their advice?

As a buyer, when I see a house that's overpriced, I laugh at the arrogance of the seller and keep moving.
I did it! I have a journal!
A Lot Like This
And hell yes, I am still moving confidently in the direction of my dreams...

Car Jack

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If your house isn't selling, the price is too high.  Period.  To buyers, houses are widgets.  There are plenty of widgets around.  The ones slightly higher than average price don't sell.  The ones 8% too high won't even be visited.

Slow2FIRE

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8% higher sounds a bit much - what did your realtor say about your initial desired price?

One thing to consider:
Realtors, on average, list their own houses for much longer than their clients houses.
Quickly moving your house is more advantageous to your realtor than you.  Time is money and a $20,000 difference in price for you is only a $600 difference for the realtor (assuming the buyer has an agent) so for them to move your house faster at a slightly lower commission may be more valuable on a dollar/per hour scale.

However, if it was priced too high to begin with for the market, you won't have much interest.

Goldielocks

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The price of the home I live in now was overpriced, it was the first place I looked at because it had a workshop and a view, which was rare locally.   The owners thought it was hot stuff because of that, a newish bathroom and a 10 year old kitchen (in a 40 year old home).

So I waited, looked at many other homes, and then bought this place when the price had fallen by 28% about 14 months later..