"WIGGLING THE LURE". THREE PRICING STRATEGIES THAT WILL HELP SELL YOUR HOME...

By
Real Estate Agent with Charles Rutenberg Realty - Naperville

I love fishing.  I have since I was a kid.

Selling houses is a lot like fishing. 

     Ken sells homes vs. Ken catches a bass

When you put your home on the market, you are really going fishing. 

You are fishing for a buyer.  And the bigger the fish, the better...

Three pricing strategies that will help sell your home.
 

  1. Wiggling the lure.   I use this strategy with my sellers who have a very interested party looking at the home.  Several positive showings in a row or a second showing. 
    Sometimes a small reduction of $1000 or so will trigger a strike/contract offer.  It is like "wiggling the lure" in front of the fishes nose...

  2. The slow and steady retrieve.   Small price reductions done at regular intervals.  Perhaps 1-2% of the asking price every two weeks or so.  
    Each price reduction causes an email to be sent to thousands of would be buyers searching for a certain criteria (ie. Naperville townhome, Four Lakes condo).  It also insures an overpriced home will eventually find it's proper market and get sold...

  3. The negotiation reduction.   I use this strategy when a home has an offer but the negotiations are going slowly.  Let's say you are asking $400K for your home.  A bidder comes in at $350K.  You counter with $390K, but don't get much response.  My advice would be to reduce the price of your home to $390K immediately.  You have already admitted you would sell it there.  Tell everyone!

    This might cause your reluctant bidder to rethink his position, and accept your offer.  Either way, more buyers will be interested...

 

Remember, just like fishing, it's not just the bait you use, but the presentation...

Ken

       

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Re-Blogged 8 times:

Re-Blogged By Re-Blogged At
  1. Mirela Monte 03/30/2010 08:50 AM
  2. Erica Ramus 03/30/2010 10:38 AM
  3. Damon Gettier 03/30/2010 11:44 AM
  4. Deb Casper 03/30/2010 02:24 PM
  5. Gabe Sanders 03/30/2010 03:12 PM
  6. Donald Bradbury 03/30/2010 06:59 PM
  7. Carol Costanzo 03/30/2010 09:20 PM
  8. Steve Facella 03/31/2010 10:23 AM
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Show All Comments
Ambassador
895,064
Missy Caulk
Missy Caulk TEAM - Ann Arbor, MI
Realtor - Ann Arbor Real Estate

Hi Ken,

Love your analogy. Good idea on reducing the price to where the sellers accepted. I've done it but it has been awhile.

March 30, 2010 06:56 PM #84
Rainmaker
476,350
Ken Tracy
Charles Rutenberg Realty - Naperville - Naperville, IL
Naperville Illinois Real Estate

Hi Mark, Erica, Green, Elliot, Gary, Ted, Heather, Billy, Gene, Alana, and Jeff.  This is fun. 

Love all the traffic!

Thanks everyone for reading.  I am glad you enjoyed the post.

I like a game of poker from time to time...

Erica, so happy to see you are excited.

Marc, not many climb aboard with the idea right away.  But it does get them thinking price.  That helps getting the home sold.

Thanks again everyone!

Ken

March 30, 2010 06:59 PM #85
Rainer
30,276
Jennifer J. Erickson
Oaklawn Realty Of New England - Wilmington, MA
Broker, Owner - Oaklawn Realty

Great analogy and has given me some good ideas on how to handle a listing.  I appreciate your insight.  Happy fishing!

March 30, 2010 07:31 PM #86
Rainer
124,048
Dinah Stallworth
Priority Real Estate LLC - 800.978.4847 - Natchitoches, LA
NATCHITOCHES, LA HOMES FOR SALE

Great tips for negotiating offers.

March 30, 2010 07:56 PM #87
Ambassador
883,319
Lane Bailey
Century 21 Results Realty - Suwanee, GA
Realtor & Car Guy

That last one is interesting...  I've done the other two.  I like to pop the listing up in mind every once in a while...

March 30, 2010 08:13 PM #88
Rainmaker
213,768
Tom Bailey
Crystal Coast Realty & Home Services, LLC - Atlantic Beach, NC

Ken I love it. I like numbers 2 & 3. They both sound like good plans to get a modestly overpriced listing in line.

March 30, 2010 08:35 PM #89
Rainmaker
476,350
Ken Tracy
Charles Rutenberg Realty - Naperville - Naperville, IL
Naperville Illinois Real Estate

Hi Tom, Lane, Dinah, and Jennifer.  Wow.  Thanks.

It's a great feeling when you write a post so many enjoy.

Let's all sell some houses!

Ken

March 30, 2010 09:12 PM #90
Rainmaker
346,705
Michael Eisenberg
eXp Realty - Bellingham, WA
Bellingham Real Estate Broker

Great analogy about price reductions, fantastic way to get your point across.

March 30, 2010 11:22 PM #91
Rainmaker
196,092
John Alesi
Century 21 Award - Mission Viejo, CA
(Orange County California Real Estate)

Ken, I especially like your second point of a slow and steady price reduction.  Each time there is a change, it gets noticed by all who have it in their search.

March 31, 2010 12:23 AM #92
Rainmaker
333,351
Ty Lacroix
Envelope Real Estate Brokerage Inc - London, ON

Ken:

All 3 are good strategies but unnecessary if the home is priced correctly the first time.

Ty

March 31, 2010 07:53 AM #93
Rainmaker
476,350
Ken Tracy
Charles Rutenberg Realty - Naperville - Naperville, IL
Naperville Illinois Real Estate

Hi Michael, John and Ty.  Thanks for reading!

Glad so many are enjoying this post.

Thanks again,

Ken

March 31, 2010 09:08 AM #94
Rainmaker
476,350
Ken Tracy
Charles Rutenberg Realty - Naperville - Naperville, IL
Naperville Illinois Real Estate

Hi Michael, John and Ty.  Thanks for reading!

Glad so many are enjoying this post.

Thanks again,

Ken

March 31, 2010 09:09 AM #95
Rainmaker
128,171
Aaron Silverman
Bluewater Property Management, LLC and Lowcountry Turnkey Properties, LLC - Charleston, SC
Improving the Real Estate Experience through Educa

Good tips.  Thanks.

Aaron

March 31, 2010 12:49 PM #96
Rainer
53,532
John Basila
Keller Williams Realty Success - Littleton, CO

Love the creative blog!  Wish I had thought of it!!

March 31, 2010 07:03 PM #97
Rainmaker
476,350
Ken Tracy
Charles Rutenberg Realty - Naperville - Naperville, IL
Naperville Illinois Real Estate

Hi John and Aaron.  Thanks so much for reading.

Wow.  The 98th comment.  Pretty cool.

Thanks again everyone for reading!

Ken

April 01, 2010 07:48 PM #98
Rainmaker
562,448
Steve, Joel & Steve A. Chain
Chain Real Estate Investments & Mortgage, Steve & Joel Chain - Cottonwood, CA

Ken,

I think marketing always has a bit more art than science.  I appreciate your fishing tips.

steve

April 02, 2010 01:27 AM #99
Rainmaker
138,153
Mike Woods
msWoods Real Estate, LLC - Indianapolis, IN

Tip number 3 was excellent and makes perfect sense. That is a great strategy for all to consider.

April 02, 2010 10:27 AM #100
Rainmaker
476,350
Ken Tracy
Charles Rutenberg Realty - Naperville - Naperville, IL
Naperville Illinois Real Estate

Hi Ms and Steve.  Thanks for reading.

I haven't read this post in a couple weeks, but just made me chuckle now...

Thanks again guys!

Ken

April 18, 2010 08:34 PM #101
Rainmaker
261,430
Wayne B. Pruner
Oregon First - Tigard, OR
Tigard Oregon Homes for Sale, Realtor, GRI

Interesting tactics Ken. You gave me someting to think about. I like your analogy.

May 12, 2010 12:44 AM #102
Rainmaker
125,758
Matt Robinson
ERA Emerald Coast Realty - Pensacola, FL
Pensacola Real Estate (850) 292-4000

Great post and great ideas!  I will add those 3 strategies to the tool belt, and go on my merry little way.  Keep raining...

September 03, 2010 05:47 PM #103
Show All Comments
Rainmaker
476,350

Ken Tracy

Naperville Illinois Real Estate
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