Offer what it is worth to you

07 Jun 2016| Posted by: Geoff Baldwin

Offer what it is worth to you. A pricing approach to bring sellers and buyers together.

The age old method of placing a fixed price on a property and hoping that buyers will inquire and make offers is pretty much dead and should be buried according to 30 year veteran agent Geoff Baldwin who owns and runs the RE/MAX real estate group.

The problem with using a fixed price that is above the expectation is that buyers are most often looking well below that expectation, especially in a tough market however high fixed prices do little more than keep them away.

One method that brings buyers and sellers together and allows buyers to become emotionally involved with a property is to price it using a wide range and to then negotiate on all offers. The records show that, although sellers may think they will receive less using this method, in the hands of a skilled agent quite the opposite is the case. More buyers see the property, more competition is created and once a buyer falls in love with the property they will pay what it is worth to them and often that is exactly what the seller is trying to achieve and sometimes even a little more.