HōM 406
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Pricing Strategy Advisor
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Pricing still matters in Bozeman. I know, with the prices skyrocketing it seems like the blue sky is the litmus and anything is possible. Especially considering that in our current market, Buyers are negotiating against themselves and offering over asking to secure a property.
We have all heard the tales, that house was listed for $530,000 and "word on the street" is that the successful contract was over $700,000. Or that house was listed at $780,000 and the successful contract was nearly a million dollars! I have honestly watched homes appreciate $1,000 a day, every day, for a year in the current market. And with all of that, if a property is priced as little as 1% over the market, it will languish in the market.
Why does pricing matter? Buyers are willing to pay what the market dictates, but they are not interested in over-paying. Further, Sellers expect to garner full price (or full price+ in our market.) Buyers are not inclined to offer on a property that is above the market, as their likelihood of success is perceived to be low.
What does all of this mean? While this market is growing quickly and demand is high, pricing still matters. Seller's still can't throw spaghetti at a wall to determine an asking price. Data matters. In fact, it has been proven time and time again, that out pacing the market with your asking price will inevitably cost you money as a Seller. Whether it is a future lower sold price, additional mortgage (and interest) payments, missing a perfect replacement property or some combination of those factors, overpricing will cost you money.
In 2020 I took advantage of my downtime and bolstered my pricing expertise by earning my Pricing Strategy Advisor designation. This expert training has ensured my clients homes are able to promptly cultivate a perfect buyer. Today's average "active home" has been on our market 17 days. Our average "under contract" home was on the market for 5 days. HōM 406 opened in January of 2020. Our median days on the market for a residential property is 5 days. Our average is 8. Work with an expert and lets get your property sold!
