The Perfect Pricing Consultation
Pricing is power. Don't let your sellers overprice their home!
We all know that homes listed at too high of price rarely end up selling. Of course sellers want to get the most money possible out of their home and often they think that the higher the list price the more money they'll get. Ugh!
One of the main reasons why sellers end up overpricing their home is because they either don't have enough information or don't understand the data to help them make the right decision. It is your job as a real estate advisor to present all of the market information to your sellers and help them understand the data.
Sellers that have clarity will make the right decision when it comes to the list price of their home. Don't be a lazy agent and just throw a few sold properties in front of them and then simply tell them your opinion on list price. Discuss the state of the market and review some of the key indicators.
- What do the local trends look like?
- At what rate are homes selling?
- How many homes are currently on the market?
- How many homes have failed to sell?
- What does the future of the market look like?
- What are the odds of selling?
Once your clients have an understanding of the market you can review the sold comparable properties and active competition to arrive at a list price that positions them best to drastically increase their odds of selling. Use visual tools, like compelling charts, to help them understand the information.
The key here is to keep your sellers focused on their goal. Use questions to help them work through objections or a desire to "try a higher price." Don't be afraid to use more data that shows what happens to homes that fail to price appropriately.
Your brokerage may or may not provide tools for you but here are a few that I have used and like:
Even if you don't have tools like this, you can still download the data from you MLS and run your own analytics.
There is a lot to discuss when it comes to the perfect pricing consultation but follow some of these basics outlined in the video above and you will be ahead of the curve.