St Augustine, St Johns County Real Estate & Home Staging

head_left_image

Is rounding down really your best option? $X49,900 vs $X50,000 when listing your home

Let me start of by saying that I'm a home stager, not a Realtor.  I don't price homes, I just help them sell faster.  I am, however, getting ready to put my own home up on the market in the next couple of months and have been keeping an eye on the homes in my neighborhood.  I've noticed that almost every home that comes on the market is listed at $X49,900 or $X99,900.  I'm guessing this is the retail trick of $9.99 vs $10.  We think pschologically that buyers will think it costs less. 

price reductionWhen selling our last home, I had a good Realtor give me some really good advice, that flies in the face of this well utilized theory, however.  My home was going to be one of those that was listed right at the $X50,000 mark.  I made a comment about doing the $X49,900 and she let me know very bluntly that putting my home in that price range would eliminate many buyers who might otherwise be interested in my home. 

You see, most Realtors when doing a search for their homebuyer do ranges - maybe $X00,000 - $X50,000 or $X50,000 - $X00,000.  If I had listed my home in the $X49,900 I never would have made that second search.  By NOT trying to fool potential buyer's with a $100 price reduction, I opened up a whole new pool of buyers - one where I was actually at the lowest price point they were looking for instead of the highest. 

As I prepare for selling my home once again, I watch my potential competition (or appraisal comperables), nearly every home just under the next range and wonder if they are missing out.   

----------------------------------------------------------------------------------------------------------------

 Author Bio: Melissa Marro, Home Staging Industry leader, Realtor, and entrepreneur offers a unique perspective on New Home Construction, Resale Residential Real Estate, and Home Staging

For more information on buying or selling in the Fleming Island, Orange Park, or Jacksonville, area, visit StageListSellNEFL.com or call Melissa Marro (marro.melissa at gmail.com), Keller Williams First Coast Realty, for more information (904-466-2093).

 

Comment balloon 2 commentsMelissa Marro • July 12 2011 03:28PM

Comments

Great point Melissa and one that's not often considered. I'd rather increase my buyer pool than evaporate it! Best of luck with your home sale... this has been a year for you!!

Posted by Karen Otto, Plano Home Staging, Dallas Home Staging, www.homes (Home Star Staging) over 7 years ago

Thanks Karen.  It's funny because I was talking about this with another friend who is a Realtor recently and she has changed her strategy for helping her clients' listings.  She feels it has made a difference. 

Posted by Melissa Marro, Jacksonville Real Estate and Home Staging (Keller Williams First Coast Realty - The Marro Team) over 7 years ago

This blog does not allow anonymous comments