Time to break a myth and give you guys a huge insight if you plan on selling your home.
First, let me ask you this, if you were planning to sell your home, what two things would you tell your realtor you want?
Did you say:
- To sell my home for as much as possible
- To sell my home in a short amount of time, preferably having it align with my moving plans
Guess what, so does everyone else. But what everyone else doesn’t know is there are two keys to making both of these happen.
- You have to price your home correctly. It must be competitively at or below market value (never above). Honestly, pricing your home under market value can be the best decision you make as it can bring in the highest value for your home…BUT that’s for another blog post.
- You have to market the home properly to receive as much exposure as possible. In other words, if the right people don’t see your home, you won’t accomplish the goals above.
Right now you might be thinking “well that makes sense, but I am not a marketing expert and in this digitally, fast paced world there is no way to keep up with the constant changes that are taking place”. While that maybe true, the right realtor will help you through this. Don’t get discouraged keep reading!!
Receiving as much exposure as possible
- 93% of home buyers use the internet to help them look for homes
- Your Realtor better have an online marketing plan, if they don’t, you probably should find a new realtor
- The psychological pricing model of using 99 doesn’t hold the same weight in the Real Estate Industry
- A $1 difference in the list price could get you your desired exposure
The Myth of 99
A price ending in 99 may still give a lower perceived value but it will also limit the number of people who see your home in online searches. Since our industry has become so reliant on people looking for homes online those limited search views will heavily outweigh any advantage gained.
So how does 99 limit search views?
When people are searching for homes online. They make their searches in whole numbers, for example $400,000 - $500,000 not $399,999 - $500,000. Let’s say your home is valued at $400,000 and is located in Damascus, Oregon which has 50 buyers searching from $300,000 - $400,000 and another 50 buyers searching from $400,000 - $500,000.
If your hypothetical home was priced at $400,000 all 100 buyers searching in Damascus in your price range would have your home pop up in their search. If that home was priced at $399,999 your buyer pool seeing your home on searches would be cut in half and would only include the 50 buyers searching for the $300,000 - $400,000 range.
A good marketing plan is developed with the idea of putting a home in front of as many potential buyers as possible. Pricing a home ending in 99 could potentially destroy any marketing plan.
Good luck in your home selling adventure!
Kip Johnson – Wheeling & Dealing
For more expert information on how to sell a home for the most amount of money in the least amount of time get a copy of my free book “Home Seller’s Secrets”. If you are seeking help in any area of Real Estate, contact me at 971-645-2019 or email@example.com