Problems can occur for both the buyer and seller when it comes to an overpriced home in the Crested Butte area. Is your home perceived to be overpriced on the market? This can cause less showings, and less potential buyers for your home. 90% of all homes do not sell because the price is unrealistically high compared to the market and other nearby homes.
Problems With An Overpriced Home
When buyers are looking for homes and they come across two homes that they are choosing between they might go with the other option due to it being a lower listing price. This limits the amount of showings scheduled on your home due to it being out of price range for clients. Overpriced homes also don’t show this value when it comes to getting appraised. This means that when the lender orders the appraisal and the appraisal is below the purchase price. This causes the loan-to-value ratio to not be correct. Depending on the lender they will not loan on the property at the agreed upon purchase price, or the buyer must increase their cash down payment amount. In such a case, the buyer has the right to terminate the contract.
Overpriced Home and Your Realtor
Good agents recognize their market and the value of their time. They do not want to waste their time, effort and their money marketing a listing that is overpriced. A real estate agent may agree to an overpriced listing only if there is agreement on a price adjustment schedule in place. Picking the right agent is key! A good real estate agent may be able to increase the value of your home by 5%. While remaining realistic when coming up with selling prices. If the agent and seller can’t decide on a fair listing price and they might end up losing their desired agent. 90% of all sellers who hire a second real estate agent agree to reduce the price.
Market Value of Your Home
Knowing your house’s true market value is very important! What has been the feedback been from agents and buyers? Do you keep hearing that buyers love your home but didn’t put in an offer due to it being overpriced? This can cause your home to be on the market longer. Buyers putting offers in on your home but you think they are low balling you? These could be good offers to take on your home. But when it comes to overpricing you might not see it that way! You need to either lower your price on the home, or add extra value into it! The good news is lowering the price of the home can be easy and be done at any time!
Final Thoughts and How Can I Help?
If you want to chat about the real estate market here in Crested Butte – give me a call… (970) 209-5405
I have been in your shoes – as both a Second Home Buyer and Seller here in Crested Butte.
The Crested Butte area offers a wide variety of properties including ski in/ski out single family homes, ski-in/ski-out condominiums, lake and river frontage properties, golf course property, quality homes in Downtown Crested Butte, and true fine mountain homes on acreage.
To see Crested Butte Homes For Sale or search the MLS – visit ChrisKopf.com.
The Crested Butte Real Estate Market is very active. Click this link to see my monthly Crested Butte Real Estate Market Reports.
I have consistently been a Top Real Estate Agent in Crested Butte, and I appreciate the opportunity to earn your business and be your Crested Butte Real Estate Agent.
Please Contact me at:
Broker / Owner
Global Luxury Property Specialist
Coldwell Banker Mountain Properties