Why Would A Plano Realtor Take an Over Priced Listing?
Lots of Plano Realtors will take overpriced listings, but why? Every day these Realtors take on these overpriced listings making their business ethics questionable among their peers. Who cares?" A Realtors reputation is paramount within the communities they work in. When buyers and sellers sign a contract for sale, their Realtors enter into a 30 to 60 day relationship and respect and cooperation with each other is crucial. So why do these Realtors sabotage themselves? Or do they? To Secure the Listing · Sometimes It's a Lie.
When a seller interviews each Plano Realtor, often their estimate of value creeps higher. It could be that the first agent knows there will be two other Realtors competing for that listing, so the first Realtor names an very high figure. The second Realtor, upon hearing the first Realtors price, beats it. The third Realtor comes in even higher yet. A seller who choose a Realtor based on which estimate is highest will be the ultimate loser. Yet almost every seller operates in this manner. It's a shame because so few Realtors take the time to educate their sellers that other factors such as marketing and the agent's negotiation skills are much more important than the estimate of value. The comps will give you the best ball park value of the home but ultimately, the market itself will determine the actual value. · Sometimes the Seller has Unreasonable Expectations.
This doesn't excuse the Realtor from explaining how appraisers determine a homes value. A home came on the market on a Lovers Lane in a desirable area of Dallas, but it was priced $80,000 too high. When asked why, the Realtor replied, "I know it's overpriced, but I would have lost the listing to somebody else if I didn't agree to that listing price." As it turns out a home three doors down sold for a high amount, but that home had been meticulously maintained, and it boasted many, many upgrades. By comparison, this home was a fixer upper, but the seller insisted he could get the same high price as his neighbor. Free Advertising for the RealtorEvery "For Sale" sign advertises the Realtors company name and the Realtors. Many of these signs contain the agent's Web site and phone number. Some of these signs even sport a color photo of the Realtor. Just think of it like a giant billboard for the Realtor. If the home is located on a major road then all the better. Hundreds of drivers may pass the sign each day and will see that Realtors name. Realtors Find Buyers Through Listings· Calls from the Sign.
If a buyer wants to find out the price of a home, generally they will call the Realtors phone number on the sign and ask them directly. Realtors who are on the ball will try to retain that buyer to work with them, assuming the buyer is not already working with another agent. · Open Houses
Realtors can hold an open house and find prospective buyers that way as well. If the buyer is not interested in the “open” home, and once they find out the price they won't be, the Realtor will then buyer other homes. · Newspaper Print Ads
A Realtor with an overpriced listing often won't put the address in the paper but will list the details along with the price. This way the buyers who can afford to pay that amount will call to inquire about the home. All a Realtor has to do is suggest other homes in that particular price range that are worth what the seller is asking and she's off and running into escrow on another transaction. Not yours. Realtors Will Hope for a Quick Price ReductionEven if a Realtor knows they are taking an overpriced listing, they may be telling themselves that when the home doesn't sell in a few weeks, they can persuade the seller to lower the price and then earn their commission when it sells. They justify their actions and take the listing. Unfortunately, studies show that interest in a home typically wanes after just a few weeks on the market, so here will be fewer buyers for that home when the price is lowered. Buyers also often think there is something wrong with a home if it doesn't sell right away or they worry the seller dropped the price because a major defect was discovered in the home. These price reductions hurt the seller and they often make buyers wonder how much lower the price may drop. So, many times a buyer will often offer even less after the price reduction. Choose your Plano Realtors based on ethics, honesty experience, competence and marketing. Don't chase after those high numbers because in the long run you will end up with less. Generally, these same rules apply to Dallas foreclosure listings as well because a bank is susceptible to the tactics of these same Realtors. If your home is in major disrepair or you have to sell very quickly for any reason you may want to contact a companies and see what your options are.
When a seller interviews each Plano Realtor, often their estimate of value creeps higher. It could be that the first agent knows there will be two other Realtors competing for that listing, so the first Realtor names an very high figure. The second Realtor, upon hearing the first Realtors price, beats it. The third Realtor comes in even higher yet. A seller who choose a Realtor based on which estimate is highest will be the ultimate loser. Yet almost every seller operates in this manner. It's a shame because so few Realtors take the time to educate their sellers that other factors such as marketing and the agent's negotiation skills are much more important than the estimate of value. The comps will give you the best ball park value of the home but ultimately, the market itself will determine the actual value. · Sometimes the Seller has Unreasonable Expectations.
This doesn't excuse the Realtor from explaining how appraisers determine a homes value. A home came on the market on a Lovers Lane in a desirable area of Dallas, but it was priced $80,000 too high. When asked why, the Realtor replied, "I know it's overpriced, but I would have lost the listing to somebody else if I didn't agree to that listing price." As it turns out a home three doors down sold for a high amount, but that home had been meticulously maintained, and it boasted many, many upgrades. By comparison, this home was a fixer upper, but the seller insisted he could get the same high price as his neighbor. Free Advertising for the RealtorEvery "For Sale" sign advertises the Realtors company name and the Realtors. Many of these signs contain the agent's Web site and phone number. Some of these signs even sport a color photo of the Realtor. Just think of it like a giant billboard for the Realtor. If the home is located on a major road then all the better. Hundreds of drivers may pass the sign each day and will see that Realtors name. Realtors Find Buyers Through Listings· Calls from the Sign.
If a buyer wants to find out the price of a home, generally they will call the Realtors phone number on the sign and ask them directly. Realtors who are on the ball will try to retain that buyer to work with them, assuming the buyer is not already working with another agent. · Open Houses
Realtors can hold an open house and find prospective buyers that way as well. If the buyer is not interested in the “open” home, and once they find out the price they won't be, the Realtor will then buyer other homes. · Newspaper Print Ads
A Realtor with an overpriced listing often won't put the address in the paper but will list the details along with the price. This way the buyers who can afford to pay that amount will call to inquire about the home. All a Realtor has to do is suggest other homes in that particular price range that are worth what the seller is asking and she's off and running into escrow on another transaction. Not yours. Realtors Will Hope for a Quick Price ReductionEven if a Realtor knows they are taking an overpriced listing, they may be telling themselves that when the home doesn't sell in a few weeks, they can persuade the seller to lower the price and then earn their commission when it sells. They justify their actions and take the listing. Unfortunately, studies show that interest in a home typically wanes after just a few weeks on the market, so here will be fewer buyers for that home when the price is lowered. Buyers also often think there is something wrong with a home if it doesn't sell right away or they worry the seller dropped the price because a major defect was discovered in the home. These price reductions hurt the seller and they often make buyers wonder how much lower the price may drop. So, many times a buyer will often offer even less after the price reduction. Choose your Plano Realtors based on ethics, honesty experience, competence and marketing. Don't chase after those high numbers because in the long run you will end up with less. Generally, these same rules apply to Dallas foreclosure listings as well because a bank is susceptible to the tactics of these same Realtors. If your home is in major disrepair or you have to sell very quickly for any reason you may want to contact a companies and see what your options are.
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