Why can’t we list at a Higher Price?

We all want to buy low and sell high. It’s human nature.

So shouldn’t we price our home higher than market value, to get as high a sales price as we can? Someone might over pay, right?

And if not, we can always drop the price later if it doesn’t sell.

It's a good question, after all it is a seller's market for most price points in most towns and cities across Illinois.

Homes are Selling Faster

The Median Sales Price per sq. ft. is Up

Homes are selling for just below List Price

It's a great time to sell, but buyers are still picky.

If a home is over-priced, and buyers have a number of ways of determining that this is the case, less of them will walk through the door.

Impact of Price on Visibility

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The less buyers that come through the door, the less chance of an offer.

If the home doesn't sell after a period of time, you're left with three choices:

  1. Improve the Home (takes time and costs money)
  2. Reduce the Price
  3. Take the home off the Market

It's far better to price the home correctly at the start, and maybe even get multiple offers at the same time.

If you get multiple offers at once, you might even sell your home for more than list price.

A Significant Number of Homes sell Above List Price

Conclusion

Whilst it is a great time to sell, pricing your home over market value reduces the number of potential buyers that come through the door, which reduces your chance of a sale without a price drop.