Apple Or Orange?

uestion, “If they think my home is overpriced,buyers came to see it, they did like it because it shows
why don’t they offer me somethingwell, but it didn’t compare favorably with other
lower?” may be one of the most commonhomes they were looking at in their price range. It was
heard by real estate agents around the Sacramentolike comparing and apple to an orange. The buyers
area. This seems like a logical seller response towere in the market for the best orange they could
learning that the potential buyer who looked at theirafford and really didn’t want an apple even
home yesterday said, “We liked the house butthough it was shinny.
it was overpriced.”To sell a home in this market, the price needs to be
The answer to the above question is slightly moreset at a level where the house is one of the top two
complicated than, “You’re right, theyor three best values for the price range. It has to
should have offered what they think the house iscompare favorably to the ten to fifteen and often
worth.” Today, in the Sacramento real estatemore homes viewed by potential buyers. The key
market we have a huge number of homes for buyerselements in this equation are location, size, features
to choose from and they have been peppered by aand upgrades.
flood of news stories making them feel like they areI like to take my listing clients out to look at the
not only in a buyer’s market but in completecompetition, homes in the general area that have
control and all sellers should just be thankful they arecomparable features and a few that have additional
even willing to look. When buyers have as manyfeatures. I tell them to think like a buyer and compare
choices as they have today, they want to find a housethe homes to their own (this is often a difficult
they love and make an offer they consider to be aassignment). The key to the exercise it to get them to
“great value.” They want “moreagree where their home fits into the price range in
for less” is blunt, but is generally the currentregards to location, size and features. Once we have
buyer mentality. I don’t blame them; I would bedone that then we can really begin to hone in on the
that way too if I was in the market for a house. Wheninitial asking price which, in my opinion is the most
my friends and family come to see my new house forimportant elements in selling a home in a reasonable
the first time, I want them to be awed by it and then Iperiod of time. It is the first ten days on the market
want to say, “Can you believe we onlywhen a listing gets the most activity and we want to
paid….”attract those agents and buyers at that time.
I currently have a listing on a home I think is beautiful, itWhat is happening with my listing? We have the price
is located in a good area and is one of nicest homes inlowered to where it should have been three months
the neighborhood. Divorce is the reason it is on theago and it now compares favorably with other listings
market and because of a number of factors it was,in the area, and the potential buyers who are visiting it
until recently, significantly overpriced. When potentialare looking for a shinny apple!