Here’s how you can get away with breaking the rules of pricing.
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Today I want to talk to you about pricing strategy in the luxury market. The golden rule in pricing is: Never overprice your home. On the whole, that’s a good rule to follow, but it doesn’t hold true all of the time.
"You need to know when and how to break the rules of pricing."
If the property has been newly renovated or maybe has a beautiful oceanside view, you can swing for the fences. It reminds me of what my jazz teacher taught me in college: You can break the rules of music, but you have to know when to break them, or you’ll sound like an idiot. The same holds true for pricing luxury real estate.
Another part of this is knowing how to break the rules. Many people make the mistake of taking the first offer that comes in at a good price when they’re selling a house above appraised value. But that first offer might be laden with appraisal and financing contingencies. Don’t take that first offer; solicit as many offers as you can. You want an offer that pays with cash because if you don’t, the deal won’t close at the price that was offered.
I hope this was helpful. If you have any questions about this or other real estate topics, feel free to give me a call. I’d be more than happy to talk with you.