Trying to sell a home? Put this on your “Don’t Do” list: Do not choose a listing agent just because he or she gives you the highest list price.
This is one of the worst mistakes a seller can make because ultimately, it is not the Realtor who will determine how much a home will sell for; it is the market place that establishes the value.
If your home could sell for whatever you wish, real estate agents would place a lot of multi-billion dollar homes on the market. But that is a fantasy. No, you want to choose a listing agent who will help you determine a realistic viewpoint of your home’s selling price. These are the agents who will work hard to sell your home using unique marketing plans and superior negotiation skills.
Pricing a home is part art and part science, and no two appraisals are exactly the same. It involves comparing similar properties, making adjustments for the differences among them, tracking market movements and taking stock of present inventory. But it’s only an educated guess and the market will ultimately dictate the price.
If you price a home too low, the seller should receive multiple offers which will drive the price up to market value. So there is little danger in pricing a home too low.
However, if you price a home too high, it could backfire on you. According to “About.com Home buying / Selling,” studies show that interest in a home typically wanes after a few weeks, and when the price is reduced, buyers might believe something was wrong with the home to make the price drop. If the home sits on the market too long, it becomes a stale, dated, market-worn home that was overpriced for too long.
Don’t make that mistake. Choose a Realtor for his or her experience, integrity and marketing expertise. The agent who shouts the highest price isn’t necessarily the one who will be able to make the sale.