Overreached, But Sold Anyway

By Dave Fratello | September 11th, 2014

So you blew it with pricing your house. Don't worry, the buyers are still there, hoping to bring you to the right place.

That's what went down at 420 21st (3br/2ba, 1465 sq. ft.), a smallish house on a half lot in the Sand Section.

This one launched in May, in heady times as the market was rolling along.

Start price: $2.200M.

Wow oh wow.

At the time, the listing was showing the home as 1148 sq. ft. based on public records. That $2.2M price would translate to... wait for it... $1,916/PSF.

That would have been a chart-topper of a price for a Sand Section house in 2014. You'd be in rare company with unique properties like the Dwell magazine-featured 137 15th (2br/2ba, 900 sq. ft., $1.950M, $2,193/PSF) or the new construction at 124 23rd (3br/4ba, 2040 sq. ft., $3.300M, $1,618/PSF).

Does 420 21st match up against those properties? We'll just leave the question mark there.

Soon, 420 21st dropped to $1.995M – not much better – and hung around there for several weeks.

It seemed a classic case of a seller who wasn't really a seller, dipping a toe in the market just to see what might come. The listing fell off our radar somewhere in July.

Ah, but persistence pays.

Someone found a way straight to the seller, began a discussion and wound up making a deal.

The sale of 420 21st has just posted, and it's not $2.200M, not $1.995M, but $1.629M.

Also, the house grew in the process – an appraiser taped out the house at 1465 sq. ft., or about 300 sq. ft. more than the prior listing said. Suddenly, a PPSF of $1,100 and change doesn't look so bad (for a half-lot house, where so much value is in the land).

Technically, the old listing quit, and the new sale was made off-market.

So, sure, that initial listing was laughably ambitious. As proof, the final sale price was 26% lower.

But they got it done, didn't they?

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