TOTALLY PROVEN LUXURY REAL ESTATE PRICING MODEL WE INVEST IN FUTURES......YOURS !!! LIST AND SELL
LIST AND SELL ......PROVEN TEMPLATE FOR PRICING A PROPERTY FOR SALE...... THIS IS A TRUISM OF REAL ESTATE...... THERE IS NO SUCH THING AS A GOOD MARKET OR A BAD MARKET, ONLY THE MARKET...... ONE THING ABOUT SALES IS: EVERYBODY WANTS WHAT EVERYBODY WANTS, AND NOBODY WANTS WHAT NOBODY WANTS!..... IF THERE'S NO DEMAND FOR YOUR LISTING, THEN YOU'VE GOT TO FIND A WAY TO CREATE THE ILLUSION THAT THERE IS...... THE BIGGEST MISTAKE SELLERS MAKE IS PRICING BASED ON WHAT’S FOR SALE, NOT WHAT’S SOLD.
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PRICING IS BOTH AN ART AND A SCIENCE
SETTING THE RIGHT PRICE .....(CORRECT MARKET POSITION).....PRICING YOUR PROPERTY ...... OVER PRICED - NO TRAFFIC - NO OFFERS ...... MARKET PRICED - SOME TRAFFIC - ONE OFFER...... ACTION PRICED - HEAVY TRAFFIC - MANY OFFERS …..THE BIGGEST MISTAKE SELLERS MAKE, IS PRICING BASED ON WHAT’S FOR SALE, NOT WHAT’S SOLD. CONSUMERS CAN GET EXCELLENT INFORMATION ABOUT WHAT COMPARABLE PROPERTIES HAVE SOLD FOR AND WHAT COMPETITIVE PROPERTIES ARE SELLING FOR. YOU PRICE ACCORDING TO WHAT HAS SOLD. THAT’S THE MARKET PRICE. THE ONLY REASON YOU NEED TO LOOK AT THE UNSOLD PROPERTIES IS TO FIGURE OUT WHAT YOU NEED TO DO TO BEAT THE COMPETITION. FINALLY, EVEN IF SELLERS AVOID THE BIG MISTAKES WHEN THEY’RE PRICING THEIR HOME, THEY CAN STILL MAKE A MISTAKE AFTERWARD - NAMELY, THEY SET IT AND FORGET IT. EVEN IN THE BEST OF CIRCUMSTANCES, THE INITIAL HOME PRICE IS A GUESS. PRICING IS BOTH AN ART AND A SCIENCE, AND YOU NEVER QUITE KNOW EXACTLY HOW THE MARKET IS GOING TO REACT WHEN YOU LIST A HOME. INDEED, FROM A PURE ECONOMICS 101 PERSPECTIVE, IT ALMOST DOESN’T MATTER WHERE SELLERS INITIALLY PRICE A HOME BECAUSE THE MARKET IS GOING TO CORRECT THEM. IF THEY PRICE IT TOO HIGH, THE HOME WILL LANGUISH ON THE MARKET AS BUYERS TAKE A PASS UNTIL THEY REDUCE IT.
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THE DIFFERENCES BETWEEN MARKET PRICE AND MARKET VALUE IN REAL ESTATE
..................................................................................MARKET PRICE: IS WHAT A WILLING, READY AND QUALIFIED BUYER WILL PAY FOR A PROPERTY AND WHAT THE SELLER WILL ACCEPT FOR IT. THE TRANSACTION THAT TAKES PLACE DETERMINES MARKET PRICE. PRICE IS DETERMINED BY LOCAL SUPPLY AND DEMAND; THE PROPERTY’S CONDITION AND WHAT OTHER SIMILAR PROPERTIES HAVE SOLD FOR WITHOUT ADDING IN THE VALUE COMPONENT
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MARKET VALUE: IS AN OPINION OF WHAT A PROPERTY WOULD SELL FOR IN A COMPETITIVE MARKET BASED ON THE FEATURES AND BENEFITS OF THAT PROPERTY (THE VALUE), THE OVERALL REAL ESTATE MARKET, SUPPLY AND DEMAND, AND WHAT OTHER SIMILAR PROPERTIES HAVE SOLD FOR IN THE SAME CONDITION
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THE MAJOR DIFFERENCE BETWEEN MARKET VALUE AND MARKET PRICE: IS THAT THE MARKET VALUE, IN THE EYES OF THE SELLER, MIGHT BE MUCH MORE THAN WHAT A BUYER WILL PAY FOR THE PROPERTY OR ITS TRUE MARKET PRICE. VALUE CAN CREATE DEMAND, WHICH CAN INFLUENCE PRICE. BUT, WITHOUT THE DEMAND FUNCTION, VALUE ALONE CANNOT INFLUENCE PRICE. “ON THE RESALE MARKET, IT’S CALLED ‘ASPIRATIONAL PRICING.’ IT’S THIS IDEA THAT YOU ARE HOPING YOU CAN GET YOUR PRICE AND ANYTHING LESS THAN THAT YOU AREN’T GOING TO SELL”. THE PROBLEM IS THE PRICES SOUGHT DON’T REFLECT ACTUAL VALUES
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VALUE IS TRULY IN THE EYE OF THE BEHOLDER: IN MOST CASES MARKET PRICE WILL TRUMP MARKET VALUE IN A BUYER’S MARKET. PRICE LEVELS THE PLAYING FIELD. EVERY PROPERTY EVENTUALLY SELLS FOR A MARKET PRICE. FACTORS SUCH AS SALES TECHNIQUES, MARKETING, INCREASED EXPOSURE CAN ADD MORE VALUE AND INCREASE DEMAND, WHICH WILL CAUSE A HIGHER MARKET PRICE
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MARKETING IS A FUNCTION OF PRICE: GREAT MARKETING WITH THE RIGHT MESSAGE WILL DRIVE MORE TRAFFIC TO THE PROPERTY. IN THE END THE HOME HAS TO BE WITHIN A BUYER’S BUDGET AND PROVIDE VALUE, AND THE HOME DOES HAVE TO “SELL ITSELF.” SO, IS PRICE THE ONLY REASON THAT HOMES SELL? PRICE COMBINED WITH EFFECTIVE MARKETING IS THE LARGEST MOTIVATOR TO GET A HOME SOLD IN ANY MARKET. IN THE END A BUYER WILL PAY ONLY WHAT THE PROPERTY IS WORTH AND THE BUYER HAS THE CHECKBOOK
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ACCELERATED MARKET STRATEGY: AN ALTERNATIVE CHOICE TO BUYING AND SELLING REAL ESTATE – SEALED BID OFFERING WITH (OR WITHOUT) RESERVE. TOTALLY CONFIDENTIAL. OUR PRIMARY GOAL IS TO SECURE THE HIGHEST PURCHASE VALUE FOR OUR CLIENT’S PROPERTIES BY DEVELOPING HIGHLY EFFECTIVE MARKETING COMMUNICATIONS THAT ENGAGE POTENTIAL BUYERS TO TAKE ACTION.