Reasons for Overpricing

Reasons for Overpricing

Over Improvement. Improvements should be made for enjoyment, not just resale. Some
custom upgrades do not demand a higher pricing to the home.

Financial need. An owner’s need for money does not increase the value of the home.

Buying in higher priced area. Values are location specific. High values in the destination do
not increase the value of the existing home.

Original purchase price was high. Chances are you paid market value. It’s not a price that
was too high, but a market that has experienced subsequent change.

Lack of factual data. Value must be calculated on recent documented sale prices.

Bargaining room. Buyers may offer low, but they will do that at ANY price. It is easier to
negotiate up to fair market value than to an inflated price.

Move isn’t necessary. Even if the move isn’t urgent, it is important to price correctly to
preserve your marketing opportunities when the move becomes urgent.

Corporate buyout. Third party companies purchase thousands of homes a year so the offer
you receive is usually market value. Market your home very close to that price.