The Seven Deadly Sins of Overpricing

Farm/Ranch/Recreation Property

1.  Appraisal problems- Even if you find a buyer willing to pay an inflated price, the fact is 90% of buyers use some kind of financing to pay for their property purchase. If you property won't appraise for the purchase price, the sale will likely fail.
2. - Today's sophisticated buyers are well educated about the real estate market. If your property is overpriced they won't bother looking at it and if you can't show it...YOU CAN'T SELL IT!!
3. - When a new listing hits the market, every agent quickly checks the property out to see if it's a good fit for their clients. If your property is branded as "overpriced", getting interest takes drastic measures.
4. - Overpricing helps the competition. How? You make their lower prices seem like bargains. Nothing is worse that watching your neighbors put up "SOLD" signs.
5. - The longer you property sits on the market, the more likely it is to become stigmatized or stale. Have you ever seen a property that seems to be perpetually for sale, and wonder what's wrong with that property.
6. - Buyers who do view your property may negotiate harder because the property has been on the market for a long period of time and is overpriced compared to the competition.
7. - you will lose a percentage of buyers who are outside of your price range and refuse to look at your property because of that.