Why reducing your asking price can get you a higher offer
Sometimes a property is sticking and the marketing may need tweaking. Are the photos fresh and current? Can the first line of text be made more dynamic? Have you a for sale board up? If the answer to these is yes, then it's the asking price that needs changing.
Your agent's job is to get you the best price and sometimes the initial price is too high. You will know that if it hasn't got interest after three weeks.
"36% of recently sold homes (subject to contract) have undergone an asking price reduction"
Any property will sell at the right price and it needs to be priced to entice. Like selling anything eg a car we all know if you reduced it by 5% every week you would get to a level where viewings soar and people fight over it - outbidding each other. The skill is how much to reduce it by.
The value of a property is what someone will pay - not what the seller thinks it's worth or what the seller will take. Most sellers have the property just how they want and feel it's the best around, but the property needs to be the best in most people's view, not the seller's view.
"Sellers who fail to reduce have unsold stale properties sticking on the market"
There are two important factors in reducing the price:
1. The reduction needs to be big enough to make an impact - a decent amount, if not it's a waste of time. Portals won't treat it as a proper reduction if below 2% but we recommend 5 - 10%.
2. The reduction needs to be a 'portal price'. For maximum demand.
It's easy for an agent to tell you what you want to hear, we would rather tell you what you need to hear.
In a tougher market if you take £25,000 off your asking price, you get a buyer for the full price and this enables you to make an offer of £30,000 off the one you want to buy then you are up on the deal. You can say to your buyer you will accept their offer subject to you getting the right property for yourself. It's better this way than sitting there unsold.
Let's have a chat and give you some straight talking on getting that buyer.