The Right Pricing. Always. Prevails.

I came across a sale today that inspired me to write a post about pricing your condo. The subject of this post is unit #2106 at One Lincoln Tower.

We have all seen it – an optimistic seller that puts their unit on the market for more than its worth. The question usually starts like this:

Can we list the condo more than its worth and just expect to receive low offers???

My answer is yes – BUT only if you want to sit on the market for an extended period of time with out procuring a sale.

Unit 2106 at One Lincoln was on the market, off and on, for almost 3 years. It was purchased for $236,500 in 2006. At that time,  it was a “very” good value – purchased from the developer. For one reason or another, in 2009 the owner decided to sell the unit. Here is the timeline:

ROUND 1

April of 2009 – listed at $489,500

June of 2009 – reduced to $472,000

November of 2009 – Cancelled 

ROUND 2

November of 2009 – Rented for $1,800

ROUND 3

June of 2010 – listed at $448,000

December of 2010 – reduced to $438,000

February of 2011 – reduced to $428,000

March of 2011 – Cancelled

 ROUND 4

October of 2011 – listed at $380,000

March of 2012 – Cancelled

ROUND 5

September of 2012 – listed for $375,000

October 26th of 2012 – SOLD for $390,000

The reason why I show you this timeline is to drive home the message. If you list your condo for more than its worth – it will not sell!

It is crucial when you decide to list your condo to have a market analysis done and to be very confident in your price. If you don’t, educated buyers, brokers and on-lookers will avoid seeing your listing. That is, until it reaches a fair and realistic price point. In this example, when unit #2106 finally went on the market at the right price – they were rewarded with multiple offers that increased the sale price $15,000 from what they were asking. Listed at $375,000 – SOLD at $390,000

 

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