Strategic Pricing Your Home
It can never be said enough how important strategic pricing is for a home to sell. Now more than ever before, a potential buyer is going to search the internet long before ever picking up the phone or meeting an agent for an actual house hunting expedition.
It is crucial to be knowledgeable in how these search engines work in order to be priced properly. When people search the Internet for homes, they are generally searching within home price brackets, typically in $25,000 increments. If you think about it, if your house is priced at $355,000, unfortunately your house isn’t going to show up on someone’s $350,000 search. However, it will show up on a $375,000 maximum search, but in that case, it’s going to be one of the last ones on the list because it will be behind all the $375,000 homes all the way back down the price list. Set at that price, it’s going to be hidden beyond the higher price points and thus lowers the probability of it being seen and thus, sold. So, $355,000 is a terrible place to be priced.
What is the perfect price then? Well, when you list your house, you want to list it at the highest point of the lowest bracket, in other words at $350,000 or even $349,900, otherwise you will miss that $350,000 buyer. For example, if you list at $409,900, you are going to miss the $400,000 buyers and even then, the $400,000 buyer might be a stretch.
It is vital to have proper pricing because if you are improperly priced in the bracket on an internet home search, you are going to be missing a large number of home buyer searchers who are looking for a specific criteria. Really this rule applies in any direction: $205,000 and $210,000 are all bad places to be, also. You might as well go all the way up to $225,000 or stay right at $200,000. $205,000 is a dreadful place to be. I promise you, you will always want to be at the top of that $25,000 bracket in price.