How to handle a sellers overpriced real estate
You can almost completely guarantee that you will have few if any offers when you overprice your house or condo for sale. When a house is listed too high, a low and reasonable offer might seem to offend the seller. When properties sit with no reduction in price, the seller is considered unreasonable.
Agents do not want to show overpriced properties because they loose credibility with the real estate buyer. The selling agent’s goal is to stay in the price range you have requested.
An appraiser will value the home for less that the selling price. They will then notify the lender. This makes getting a loan for this home almost impossible. The only option then is to do an all cash sale and hope there is not a property appraisal. This type of sale rarely if ever happens.
When really wanting to sell a house or condo, always think about price reductions. Checking the asking price every two weeks and making sure the price is just a little less than the market will make your property stand out and sell faster.
More often than not, a seller will actually end up getting less for their home when chooses to hold out longer for better offer. Sometimes after months, even years, they consider dropping the price, but by then there investment in the time it has not sold and current real estate market may have changed. Similar properties may actually be selling now at prices even lower than the new asking price. If they had just reduced their price and made it, compare to what similar properties were currently selling for in beginning, then they would not be “chasing the market down.” They would have sold it and moved on.
By not pricing your house or condo properly correctly, it may not sell. If you are in a financial bind, It may go to Short Sale or even worse Foreclosure especially if you cannot maintain the mortgage, the upkeep, or you have since moved out.