Above: A selection of recently SOLD homes North of Montana (as of 9/29/2016 – right-click to enlarge).
If you are lucky enough to live in the prestigious North of Montana neighborhood of Santa Monica, California, where almost all lot values are above $3 million, every home is sellable. But if you price your home too high, you will sit on the market and wait, and you’ll probably sell for a lot less than if you’d priced correctly. While other neighborhoods may have different timelines, in ours, everything should sell within a month.
Looking at data from two days ago (September 24, 2016 – see charts above and below), it’s clear that every single incorrectly priced home North of Montana sat on the market for months (and sometimes over a year!), and that when it finally sold, it did so at a huge reduction. Experience also tells us that, had those same homes been listed at the right price to start, they would have sold at a higher price (frequently over asking) because the right price attracts a high number of buyers, who then bid against each other.
A realtor may suggest a high list price in order to gain you as a client. Resist the temptation to accept a high number without supporting information. Require the realtor to show you how they came to that figure based on comparable homes that have sold. If they cannot or will not, RUN!
Ask the realtor to show you the adjustments they made to the prices of comparable sold homes, based on how your home differs from those homes.
And remember that selling for top dollar requires a pricing strategy that is correct from the start.
From one neighbor to another, if you have any questions, I’d be more than happy to help.
Below: A selection of currently ACTIVE homes North of Montana (as of 9/29/2016 – click to enlarge).