Selling a home can be difficult, but does not have to be impossible! The most common mistake made by a seller is not pricing their home correctly! If a home is not priced correctly, it won't sell! There mistakes that sellers make that are more common than others, when it comes to pricing real estate. 1.) Pricing the Home High to Leave Room to Negotiate 2.) Pricing the Home High because they Have Time 3.) Check out my other two most common real estate pricing mistakes at http://rochesterrealestateblog.com/real-estate-pricing-mistakes-that-sellers-need-to-avoid/.

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Real Estate Pricing Mistakes that Seller’s Need to Avoid
Real Estate Pricing Mistakes that Seller’s Need to Avoid!
Kyle
Hiscock
Selling a home can be difficult, but it does not
have to be impossible. In fact, it can be
relatively “easy” if common mistakes are
avoided. The mistake that is made most by
seller’s relates to the pricing of their home.
The pricing of a home normally determines
whether a home will be sold relatively quickly
or if it will linger on the market for a long
period of time.
If a home is overpriced, it doesn’t matter if a
seller hires the best real estate agent in their
local market who also has the best marketing
plan, it will not sell! Pricing does the majority
of the marketing of a home, between 80-
90%.
Listing a home at the correct price will almost
guarantee that a buyer will be writing an offer
in a quick amount of time (often just a few
hours or days after being listed). Unfortunately, pricing a home at the correct price is not a simple process. If it was
as simple as listing a home for it’s assessed value, there would be no need for real estate agents. If it was as simple
as listing a home for what Zillow’s “Zestimates” say a home is worth, there would be no need for real estate agents.
There are real estate pricing mistakes that seller’s need to avoid because overpricing a home creates a damaging
effect! Here are four mistakes that are more common than others when it relates to pricing a home for sale!
Pricing the Home High to Leave Room to Negotiate
Many sellers believe that it is a common practice of a buyer to offer lower than the house is listed for. In most cases,
this is the farthest from the truth.
A seller who lists their home for $10,000 more than a real estate agent recommends because they believe this will
leave them with $10,000 in negotiating room is making a huge mistake. Today home buyers are extremely
knowledgeable and savvy. The internet has made it extremely easy for consumers (in general) to obtain information.
If a home is overpriced, buyers will not look at it. So, the home owner who prices their home higher to leave room to
negotiate won’t have anything to negotiate because potential buyers won’t waste their time looking at a home they
know is overpriced!
If a home is priced correctly, the buyer’s real estate agent should be providing their client with information so they can
make an educated decision on what to offer a seller. It is still possible in this situation that a buyer will make an offer
that is much less than what a home is listed for, however not as common. Listing a home for market value and not
listing it to leave room for negotiating, will more times than not, get a seller more money in a shorter amount of time!
Pricing the Home with the Real Estate Agent who Offers the Highest List Price
In most local real estate markets there is anywhere from several hundred real estate agents to several thousand real

2. estate agents. For example, the number of real estate agents in Greater Rochester NY area is nearly 3,000. Like
any industry there are professionals who
Pricing the home with the real estate agent who offers to list the home for the highest price is a
are great at what they do, professionals
who are average at what they do, and
professionals who are terrible at what
they do.
In every local real estate market there
are agents who “buy listings.” An agent
who “buys a listing” will tell a seller their
home is worth an unrealistic amount of
money, just to obtain the listing. This is
doing a huge disservice to any seller and
the agent! A seller who interviews
(interviewing is an important tip to help
ensure the “right” real estate agent is
selected to sell a home) three agents
and selects an agent solely because the
common mistake!
agent said their home was worth $50,000
more than the other two agents did, and doesn’t have facts to back it up, is making a huge pricing mistake!
Real estate agents are in the business to sell houses and offering a list price that is unrealistic is not going to
accomplish this, thus wasting their prospective sellers time as well as their own!
Pricing the Home without Having A Professional Real Estate Agent Perform a Comparative Market Analysis
As mentioned above, pricing real estate is not a simple process. There are many things that a real estate agent takes
into account when pricing a home.
A great real estate agent will spend hours researching and “massaging” data prior to determining what they’d suggest
a seller lists their home for. A top real estate agent will complete a comparative market analysis, also known as a
CMA. There are many sellers who don’t know what a comparative market analysis is, most of the time this is
because their real estate agent neglected to perform one, neglected to review their CMA with their client, or their
agent never even offered to explain exactly what a CMA is and what is involved with it!
A seller who does not have a comparative market analysis performed on their home is making a huge mistake as is
the Realtor. If a CMA is completed correctly, a home should sell relatively close to the list price and in a relatively
short amount of time. If a comparative market analysis is not completed on a home, there is also the possibility that
there could be problems with the home under appraising. The purpose of a market analysis is not only to determine a
realistic listing price and probable sale price of a home, but also to reduce the chance the home under appraises!
Pricing the Home High because the Seller has Time
It is not uncommon for a seller to say, “We are in no hurry to sell, so we want to list our home for $200,000, even
though you suggest and your market analysis shows that the market value is approximately $175,000.” While a
difficult thing to do, a great real estate agent will “walk-away” from this listing. Being in no hurry to sell, does not mean
over pricing a home is a good idea. If a seller is not in a hurry, the best option will be to wait until the seller is in a
position to price their home correctly!
Pricing a home high because the seller has time means the house will sit on the market. Homes that sit on the
market for an extended period of time begin to develop a “stigma.” Buyers begin to ask questions, such as, “what is
wrong with the home?” It’s very possible that there is absolutely nothing wrong with the home, other than the seller is
asking an unrealistic price!

3. Bottom line, price it right, it will sell! Pricing mistakes in real estate can be avoided, if sellers are aware what they are
and what effects they can have on selling a
home! If a home is priced correctly, there
should be several showings within the first
couple days on the market and also an offer
in hand within the first couple weeks! If there
isn’t, there is a reason the home is not
selling, normally the price is too high!
Other Real Estate Pricing Resources
Reasons Why Your Home Is Not Selling
by Bill Gassett
Consequences of Pricing Your Home
Too High by Teresa Cowart
Should I Price My Home Higher Knowing
a Buyer Will Try to Negotiate It Down?
by Lynn Pineda
Pricing Your Home Right from the Start
by Chris & Karen Highland
Why Setting the Price Too High Does Not Work by Xavier De Buck
Pricing the Home High because the Seller has Time!
Selling your home in the Greater Rochester, New York area? It is extremely important to make sure you price your
home correctly. We’d love to prepare a complimentary comparative market analysis specifically designed and
tailored for your home! In addition, we create a comprehensive marketing plan that is also designed specifically for
each of our homes for sale, so contact us today!
About the authors: The above article “Real Estate Pricing Mistakes that Seller’s Need to Avoid” was provided by
the Keith Hiscock Sold Team (Keith & Kyle Hiscock). With over 30 years combined experience, if you’re thinking
of selling or buying, we’d love to share our knowledge and expertise.
We service the following Greater Rochester NY areas: Irondequoit, Webster, Penfield, Pittsford, Fairport, Brighton,
Greece, Gates, Hilton, Brockport, Mendon, Henrietta, Perinton, Churchville, Scottsville, East Rochester, Rush,
Honeoye Falls, Chili, and Victor NY.
Visit our website at www.HiscockHomes.com.