pricing for the internet age

A not so big secret within the real estate industry is that the single most important factor that determines whether a property that's on the market sells or not is the asking price. This is not to discount the dstinct advantages of having a pro active agent and a comprehensive marketing strategy. Yet an effective pricing strategy needs to go beyond just having an attractive asking price. It must take into consideration the evolution of consumer's shopping behavior; namely the shift from print media to online sources. As a matter of fact, almost 90% of home buyers begin their search on the Internet, yet certain home sellers are still pricing their homes as if they were running a discount store. What savvy educated consumer is going to be persuaded by the fact that your property's priced at $199,000 as opposed to $200,000?



The typical real estate search engine allows buyers to search for homes using specific price brackets; usually in $25,000 or $50,000 increments. Taking the $199,000 home for example: If a buyer is calling up properties in the 150k to 200k range, this home will be found; whoopee! Yet, it will be the highest priced home in the search results. Conversely, if this same home is priced at $200,000 it will be found by the same buyer pool in the above example, and it will also be found by prospects looking at homes in the 200K to 250K price range. And here's the booby prize: This home will now be the lowest priced one in the search results! How's that for bumping up the perception of value for your property up a notch? Considerably more people will find the home at $200,000 then at$199,000. More online hits will lead to more inquiries, which will lead to more showings, which will eventually lead to a SOLD property.

So remember, position your property like it's 2011........not 1911.

Real Estate's "lame duck" session

In politics, the period of time following a November election until the new Congress is in session in January is often referred to as a "lame duck" session. This is the case because generally speaking, very little legislatively actually gets done.

Real estate also has a "lame duck" session of sorts. It's that time period that seems to start at the beginning of December through early January. Historically speaking, the transactions that take place during this period tend to be few and far between. It's only natural, I suppose, as people's minds tend to be on family and the holidays. Yet within this reality lies opportunity for those Buyers and Sellers of real estate that are willing to take a chance.

Think about it: what better time to make a offer on that home you've been eyeing than when every other Buyer's mind is somewhere else? The competition from other Buyers will be virtually non-existent. And what about if you're thinking about selling? The conventional wisdom if that you never put your property on the market around the Holidays. Baa humbug! "I say." Why not buck the conventional wisdom and get your home to market while your competition is sitting around waiting until after the New Year. Once again, no new competition.

In short, you need not let the "lame duck" dampen your hopes of real estate success. When others are afraid of the water, I suggest that you jump in!