Was My Sale Price Too LOW?

Sellers are often astonished when a house sells in one day. The first place they tend to jump after the excitement of selling has lost some of its glitter is the thought "our sales price was not high enough." Sellers often begin to wonder if they priced the home too low because it sold so fast.

While all of that anxiety and uncertainty and questions are popping up on the side of the seller, imagine what's going on with the buyer. Probably an identical scenario! The buyers are questioning whether they paid too much because the seller accepted the offer so quickly. The buyers figure if they had offered less, the seller might have taken that amount as well, so therefore they conclude that they paid too much for the home.

The reasons why a home might sell in a day:

1. Seller’s Market: In a Seller’s market there are more Buyers than there are houses to buy. If there are very few homes available for sale, a shortage of inventory, many homes will quickly sell simply because there is little to buy. The homes that are listed appropriately, within the prices of comparable sales, will sell much faster than homes that are overpriced. Homes that are overpriced might not sell at all. 

2.  Your realtor did a good job: If you're a seller, it's easy to forget about the lengthy preparations for sale and overlook or not fully understand the amount of work your listing agent has put into getting your home ready for the market. He or she might have spent hours studying the market, previewing similar homes and preparing listing presentation materials just to win your listing from competitors. He probably gave you advice about how to prepare your home for the market. Photos were taken, a terrific description written and open house dates probably set. Advertising and marketing materials generated and websites set up. If a buyer showed up on the first day, it was probably due to these efforts, so don't discount them.

3. 3. Don’t forget appraisals: Your agent is aware of the market and may even have prepped you for a quick sale. He also knows that your home is going to be appraised by the Lender the Buyer will be working with. That appraisal will done without the emotion that accompanies real estate sales and your agent understands that your home price needs to be within what the comparables will support.