Most people fall into the same category. They want to save or make every nickel they can when it’s time to sell a house. I know that very well because my family, friends, as well as strangers who become my clients, look for various ways to cut corners to save money.
Person A: A friend was thinking about selling her house and asked me, casually, what did I think it would bring. I ran some numbers for her and gave her a ballpark price. Then for several weeks she and I batted the price around while she tried to figure out whether to stay or move. One evening she called me over to have a drink and she said, “I’ve decided to list my house with Donna and I wanted to tell you up front why I am doing so. I want to list it much higher than you think it will sell for. And I want to be able to call my agent and hound her about why it hasn’t sold yet. I don’t want to do that to you.
“You are a dear friend and I want to keep you as my friend. When we go out for dinner or drinks, I know your stomach will be in knots as we talk about why it hasn’t sold. I want to enjoy the evening and neither of us will because my house hasn’t sold.”
Well, she was right. So, I had another drink on her and we parted as friends. It was one of the nicest things I’d ever had a friend say to me. She listed the house way over what I would have been comfortable doing and it sat there. When we went to dinner, she would talk to everyone in the place telling them her house was for sale. And I sat quietly, nursed my drink and smiled because my stomach wasn’t torn up. Eventually, unexpectedly, several months later I moved away. Her house was still for sale.
The odds are that when you price your house way high in a market that is not appreciating rapidly, it won’t sell at that price, because the market will not catch up to it. Nor will it sell later at the price you should have listed it for initially because now it is “shop worn” just as a piece of clothing becomes after hanging on the racks too long. Seller’s end up losing money because they don’t understand the market. There are lots of nuances. That’s why you need an experienced pro.