Pricing a home for market typically involves a lot of math, science and talent.
Did we overstate that?
Well, it definitely involves some combination of data, experience, and a good sense of where the market is at.
You want to price a house "just right," so that it's seen as a good deal and gets pretty much immediate activity.
Overprice, and you'll be waiting. Underprice, and you might get less than you could have.
This is a familiar push-me/pull-you process that goes on throughout the process of getting a home ready for market and putting it out there.
And yet, it's also fun each time to consider a bit of a daring strategy to just put the house out on the market at a low, low price, to make sure there are quick, multiple offers.
We sometimes call this "come hither" pricing.
Take a look at 225 Rosecrans Place (3br/3ba, 2068 sqft.)
It's a mid-90s townhome on the edges of El Porto.
Strategic painting and a few other upgrades gives this property more of a contemporary look, and the staging completes the vibe.
It's got some views, which people want.
Location might be a bit close to Highland or commercial properties for some tastes, but not too close for everyone.
Most importantly, this property fits a need that quite a few buyers have this year, but they haven't seen any inventory.
It's a straightforward Sand Section house, move-in-ready, with some views.
Between $2.5M and $3.0M, it would have a ready audience.
If you think it might settle in that range, maybe you try to find the highest price in there that seems attractive enough to get a lot of looks.
But instead, they priced at $2.399M.
The price seemed so low, the first two obvious questions were:
Is something wrong with it that isn't obvious?
Are they kidding with that price? Too low!
They posted it to the MLS last Thursday night. There were open houses on the weekend.
It was in escrow by Tuesday afternoon.
And no, it is not selling for $2.399M.
They had a little auction... and there could only be one winner, even though there were multiple offers.
We said above: It's always "fun" to consider this strategy. But it's a bit rare that a property definitely meets the criteria needed to be 100% sure that there will be instant action, so that you don't get stuck with that "low" offering price.
A Sand Section home under or around $3M these days?
Yeah, there was going to be instant action.
Please see our blog disclaimer.
Listings presented above are supplied via the MLS and are brokered by a variety of agents and firms, not Dave Fratello or Edge Real Estate Agency, unless so stated with the listing. Images and links to properties above lead to a full MLS display of information, including home details, lot size, all photos, and listing broker and agent information and contact information.
