Jacksonville Real Estate Ramblings: The Danger of Overpricing Your Jacksonville, Florida Home

Overpricing your Jacksonville home could cost you thousands

As a seller wanting to sell your Jacksonville real estate, you want to get the most out of your home. What most sellers do is price high and let the buyer bring them an offer. It sounds good but it will cause you to lose thousands of dollars.

FACT: Buyers are not going to waste time looking at overpriced listings.

Think about it, in today's market buyers have literally hundreds of houses to choose from. They are not going to go and personally look at every single home, it would take too much time. They're going to pick the best ones based on what they're looking for: bedrooms, bathrooms, neighborhoods, etc... Then they're looking for a deal. As a buyer, what would you do?

Let me show you an example: Let's say there are 5 homes in a neighborhood that fits the buyer's needs. One is your home, overpriced, but hoping for a buyer to bring an offer and 4 others which are priced competitively. Which houses are they going to go look at? Assuming they have been looking for a couple of weeks, have seen 20 plus houses and are wanting to get their piece of real estate in Jacksonville. They're going to look at the ones priced competitive and not give yours a second glance.

FACT: Buyers see an overpriced listing and assume the seller will be unrealistic in all their negotiations.

Now you may be saying, I'll gradually lower my price, it won't seem like such a shock. All you're doing is prolonging the inevitable and reducing your net even more.  Here's why:

Overprice Jacksonville Home                                Jacksonville Homes Price Competitively                           

FACT: By chasing the pack, you set yourself up for a lower net.

You’re chasing the pack (competing houses priced competitively) By chasing the pack you’re never getting a second glance from a prospective buyer because the pack is where the deals are. If some houses in the pack are owned by desperate sellers they keep lowering their price, the rest of the pack follows suit. As those homes sell (desperate owners, meaning short sales, foreclosures or other desperate situations) they cause the values to decline because they are representing what a buyer will pay. So, even if you were able to get a contract on your home, chances are good, the appraisal will come back low and if you want to sell, you’ll still have to lower your price.

If you’re thinking about selling and you want to talk to an agent who won’t lie to you just to list your home, then call me directly at 904-910-3516.