San Luis Obispo Sellers Information

Due to the increase in interest rates, there are now more unsold houses on the market and it is currently taking longer to sell a home. Consequently, there are more sellers competing for less buyers.

Why this myth of real estate sales is not true and is a poor strategy:

“The initial listing price is not that important because the price can always be adjusted down later.”

Most buyers look at houses that are recommended to them by real estate agents. The agents are familiar with the local inventory in the areas in which the buyers are interested. These agents will recommend homes based upon the needs of the client relating to location, condition and various details of the property desired. The price, of course, is a very important factor in their recommendation.

Real estate offices circulate a sheet of new listings to their agents called the “hot” sheet. The properties on this sheet are the ones that the agents pay most attention to because there are less new listings than current listings and as a result, they are easier for the agents to track.

Buyer's agents will be eager to show appropriately priced homes that appear on this list to their clients. Those homes that are over-priced in comparison to others in the desired area will be over-looked and not shown. After your home has been listed for awhile and not shown because of the high price, you may start feeling anxious due to the lack of activity from agents and prospective buyers and decide to drop your prices to bring them more appropriately in line with similar homes in your area.

However, at that point, your home is not considered “new” or “hot” any more. Your home may be overlooked even though the price is more in line with others in the area. Real estate statistics show that quite often, the first offer made on a home is the best offer that will be made.

If you have a pressing need to sell such as having to leave the area because of a new job or because of financial problems, you may become desperate to sell and have to accept a lower offer than you would have received if your property was appropriately priced to begin with.

A home that is appropriately priced should be listed by the seller's agent in the Multiple Listing Service (MLS) so that other agents who are members of this service will be made aware that your home is available. Relevant information is part of the ad such as number of rooms, square footage of the home and the lot, and other details such as if you have central air conditioning and a brief description of the amenities that sets your home apart from others. A photo is also listed with the ad.