Who Sets the Price??

I have been meaning to write this blog for many months but for some reason, either as a result of lack of self motivation or perhaps even a bit of laziness, I just never seem to be able to get at it.  Well I think today is a great mid spring day to get at it.

Ever since my first few weeks in the real estate industry I have heard comments from potential buyer clients that the price on the property they are considering purchasing is, in their opinion, priced too high.  This is usually preceded by a comment that goes something like this - "You real estate people are always asking to much for your properties".

Well I believe that after close to thirty five years in the real estate industry I think that it is time to set the record straight.  Firstly we do not sell "our properties".  We are marketing the properties belonging to the seller's we represent.  They are the owners, not us.

Secondly, we do NOT set the asking prices.  Admittedly we offer to our seller clients some professional opinions on what their property may be worth at the time they are listing it for sale but the final asking price is ALWAYS the decision of the seller(s).

Many times I have completed Comparative Property Value Analysis projects for potential sellers only to have them respond that my professional opinion of value, in their opinion, is too low.  That someone has told them that their property is worth more. That they want to list at their asking price, not the one I have suggested to them.

But there is one comment I need to make when we agree to list the property at the price they feel it is worth.  It is amazing how high the percentage is, in good real estate markets and bad ones as well, that that property DOES not sell or if it does sell that sale happens only after a number of significant asking price reductions.


Len Wassill

Len Wassill

CENTURY 21 Parkland Realty Ltd
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