The real estate market is improving, which is wonderful news for home sellers. Buyers are less scared to purchase when they see prices going up, which results in more buyers and more competition. Unfortunately, many home sellers make the mistake of overpricing their listing, which can cause negative results in any market. The following is the danger of overpricing your NH home for sale.
How List Price Related to Marketing Time
It is well known that home price and marketing timeframe are linked. Overpriced homes take more time to sell for a few different reasons. First, higher price points bring in fewer buyers. Additionally, overpricing your property makes lower-priced alternatives more desirable. So, you will essentially help other listings sell faster. Lastly, home buyers are more scrutinizing in higher price ranges. Your home must have clear justification for the high price or home buyers will lack interest.
Listing Timeframe and Selling Price
Another proven pattern is that extended marketing times result in lower sale prices. Buyers develop a negative view of properties that have remained listed for extended periods of time. They guess that things must be wrong with the house (and not necessarily that it was overpriced).
An additional factor is that as a seller, you will likely make price reductions over time. Even if you drop the price to the proper range, it is probably too late to eliminate the damage. Buyers who do express interest will likely present lower offers than they otherwise might have. In the end, your listing will sell for less because you overpriced.
The Danger Of Overpricing Your NH Home For Sale
The danger of overpricing your NH home for sale is lost time and lower profit. It is that simple. Even if the market is hot and properties are selling for above asking price, it is never worthwhile to overprice. It is always important to begin at the correct price point. That attracts the most interest, elevates demand and gets you maximum value. Contact an experienced real estate agent who understands the market and proper pricing approaches.