Seller here - should we set selling cost higher to give satisfaction of bargain or set lower to start bidding war!?

Homeowners - we are getting ready to sell our home in a highly desired, top school district area…. Where houses aren’t lasting more than 7 days… but our home is not cookie cutter and is a little unique. now, let’s say our realtor said: price should be $550k based on comps and all… So tell me, what strategy should we apply to set the selling cost… 1) we go above 550k to 580k and have some wiggle room, to let buyers have the satisfaction of getting lower price? OR 2) should we set price at 499k and light up a fire and start a bidding war and hope it goes above 550k atleast, if not higher!?

Plz advise!

in homeownersby NerveMajestic

21%

14d

Only-Ad5049

14d

It may be depend on your timeline to sell. If you set the price too high, it could turn off buyers and take much longer to sell. If you have time to sit on the house, you could go with the higher price and wait it out or drop it later.

If you set it too low, somebody might buy it at that price if you don’t get the bidding war you are hoping for. You are taking a big risk of selling the house for far less than you and your realtor believe it is worth.

Personally I would set the price at 550k as suggested by your realtor. If the market slows down you might get offers for less than you are asking. If the market is hot you might make more money than you are asking for.

NerveMajestic

-3

14d

You made a great point. I do need to sell in 21 days!!!!

wittgensteins-boat

14d

That is a very rapid period to worry about price.

You want an immediate buyer able to close promptly.

CantaloupeCamper

14d

Set it at market rate.

When I saw houses way low I wondered what was wrong with them.

Way high I assumed the seller was a stuck in the mud and I didn’t want to deal with it.

HoustonPastafarian

14d

I'd listen to your agent here. They should have a good feel of the number of buyers in the market, how many days properties have been sitting on the market typically, and accounting for how quickly you want to get the house sold. If they don't...you have the wrong agent.

You are paying them a hefty commision, pricing strategy is something they should be providing good advice on.

Novel-Coast-957

14d

Intentional bidding wars smack of greed. Let the house sell itself.

Fibocrypto

13d

How many square feet of land and how many square ft of house ? If it's a smaller lot and a smaller house I'd lean towards a lower price if it's a larger house I'd lean towards the middle of the anticipated price range.

Admirable-Box5200

13d

You have a realtor that is getting a commission and you're asking total strangers about pricing strategy, and you need to sell in 21 days? IMO, if your house needs updates setting above comps will most likely result in it sitting, unless you are offering money to the buyers in allowances. Setting the price low doesn't mean there is something wrong with the house and the "bidding war" you want to have isn't guaranteed to result in a price over $550k.

What you didn't say about the comp, are they also on houses that needs updates?

GoldFederal914

13d

The safest approach is to figure out what you want to get, then list for 10% higher.

King-Several378

14d

Setting the price at $580k gives buyers that sweet feeling of getting a deal, but it's a risky move. Personally, I'd go with the $499k bidding war strategy. It'll get people hyped and drive up the price. Just make sure your realtor is on point and you're ready for some action.

242ColeMan

14d

Asshole alert!!!

NerveMajestic

-1

14d

Thanks. 🙏🏻 my only concern is our home is very niche - lots of land, river in backyard but smaller and not updated as. Such inside… so audience is less but whosoever wants it. Would be quality lead… and willing to pay .. plus how much more can I get from bidding war anyways?!

thatgreenmaid

14d

Yeah I'd not do the 499 knowing your house is for a specific audience. List at 580 and see what happens.

Dangerous_Ant3260

13d

I would price at $549,000, and that will get prospective buyers looking for less than $550,000. DOn't price for a bidding war unless you're willing to settle for the lower price. You may only get one bid, not a bidding war.

242ColeMan

14d

Starting a bidding war is an asshole move.
Set your price high.
Decide what you want to walk away with and add the realtor
commission to that, plus maybe another 15% for negotiation leeway.

NerveMajestic

14d

I think so too. I mean if someone really likes my home … they would pay for what I am asking or even if asks for let’s say 30k lower, I’d still get what I want no?! I don’t understand the unnecessary concept of bidding wars—- it’s so stressful! But my realtor and husband both think otherwise .. so trying to get a data point here!