Real estate professionals should collaborate with sellers on pricing

February 1, 2017

Typically, real estate agents will just tell sellers what price at which they should list their homes for sale, because of their long history in real estate sales. However, those homeowners often may prefer to feel as though they're a participant in the pricing process, and therefore the more that can be done to explain why homes should be priced as they are, and what kind of wiggle room sellers might have, could be an advantage. 

Certainly it makes sense for real estate agents to counsel their sellers on what they think would be a prudent asking price for a home being put up for sale. But there's a big difference between making a suggestion and issuing something of a final verdict without a discussion, according to a report from Inman. People like to be in on the process and get a bird's eye view of why homes are priced as they are, and what that means for them.

Walking people through the pricing process is often preferable to dictating it.Walking people through the pricing process is often preferable to dictating it.

Why is that important?
For instance, if a home has an approximate value of $250,000, and that's something the real estate agent understands thanks to all his or her experience in the field, but the homeowners want to sell for $275,000, that's a problem that can take a while to overcome. Taking the step to actively explain why a home is worth what it is, and whether there might be some wiggle room that could help bring that actual value up a little bit, can go a long way toward helping owners feel better about the process.

It might also be wise to set expectations appropriately, the report said. To go back to the example above, if that home "should be" worth $250,000 but demand in the area is relatively low and bids are coming in a little below that, owners might be upset. But again, that's where real estate agents can assuage such issues by explaining why things are happening the way they do. That can help to avoid unhappiness and disgruntlement at the process overall.

The best efforts don't always work
Of course, some people just might not be convinced by even the most seasoned real estate industry veteran, and will continue to expect people to pay well above market value for their homes, the report said. In those cases, any efforts to bridge those gaps between expectations and reality with time-tested real estate tips could nonetheless be helpful.

One of the discussion points could include the benefits of learning about home warranty plans that help to protect both buyer and seller before, during and after the sale of a property is complete. That kind of additional peace of mind could go a long way toward helping all involved have a little bit more peace of mind about what can sometimes be a stressful process.