Chrissi Chapman Topoleski, Helping agents live an exceptional life! (Coldwell Banker Realty)

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Rainmaker
5,772,353
Ron and Alexandra Seigel
Napa Consultants - Carpinteria, CA
Luxury Real Estate Branding, Marketing & Strategy

Chrissie,

Each market responds differently to pricing...we would suggest that one reads the marketplace!  A

Jun 16, 2016 11:28 PM
Rainmaker
921,404
Annette Lawrence , Palm Harbor, FL 727-420-4041
ReMax Realtec Group - Palm Harbor, FL
Making FLORIDA Real Estate EZ

I find greater benefit in using precise numbers such as $237,000.

The $19.99 works for cushions on TV followed by "and there's more" but on a $250,000 house, not so much.

Now the gaming of the numbers regarding $199,999 and $200,000 is more about search tools than psychology.

Jun 16, 2016 11:22 PM
Rainmaker
4,895,624
Will Hamm
Hamm Homes - Aurora, CO
"Where There's a Will, There's a Way!"

I go for 199,900

Jun 17, 2016 01:37 AM
Rainmaker
1,236,920
Sam Shueh
(408) 425-1601 - San Jose, CA
mba, cdpe, reopro, pe

I have seen $1,234,567.89

sold for $1,188,888.88 people put a sense of humor into home price also.

Jun 16, 2016 11:47 PM
Rainmaker
2,165,864
Michael J. Perry
KW Elite - Lancaster, PA
Lancaster, PA Relo Specialist

I like round numbers - $175,000, $325,000

Jun 16, 2016 11:22 PM
Rainmaker
1,722,326
Sandy Padula & Norm Padula, JD, GRI
HomeSmart Realty West & Florida Realty Investments - , CA
Presence, Persistence & Perseverance

We walk a fine line. Each property and related selling motivations are not always the same, so the methods employed are not all the same. We realize most sellers know the market value based on recent sales, so it seems most sellers want to 'push' the pricing envelope and we adopt that stance.

Jun 16, 2016 11:15 PM
Rainmaker
4,800,082
Gabe Sanders
Real Estate of Florida specializing in Martin County Residential Homes, Condos and Land Sales - Stuart, FL
Stuart Florida Real Estate

I don't believe any of those techniques work.

Jun 17, 2016 05:00 AM
Rainmaker
2,775,046
Richie Alan Naggar
people first...then business Ran Right Realty - Riverside, CA
agent & author

I come out at market or slightly below and in some cases slightly above.

Jun 17, 2016 03:51 AM
Rainer
69,794
Shawn and Angela Miller
Berkshire Hathaway HomeServices Amabassador Real Estate - Lincoln, NE
Lincoln and Omaha, NE REALTORS®

I try to get as close to market value as I can, then fiddle with the numbers a little.  Like your $200K example, I think $199,900 looks better. 

Jun 17, 2016 12:59 AM
Rainmaker
5,583,167
Barbara Todaro
RE/MAX Executive Realty - Happily Retired - Franklin, MA
Previously Affiliated with The Todaro Team

I hate those odd numbers on a listing....price it with a whole number... all zeros...no nines for units, tens or hundreds numbers in the series.... 

Jun 17, 2016 12:27 AM
Ambassador
2,678,589
Fred Griffin Florida Real Estate
Fred Griffin Real Estate - Tallahassee, FL
Licensed Florida Real Estate Broker

     I see builders price their spec houses at weirdo numbers like your example of $237,425.   Maybe their accountant pushed that number on them.

   Resales usually end in zero or in nine.    $237,000  or  $236,900

Jun 17, 2016 12:01 AM
Rainmaker
4,550,551
Michael Jacobs
Pasadena, CA
Pasadena And Southern California 818.516.4393

It depends on the market, the property and timing.

Jun 16, 2016 11:49 PM
Rainer
212,500
Kristen Correa, Broker
Kristen Correa Real Estate & Reedy Creek Realty Services - Keller, TX
I love coffee & real estate. I am out of coffee!

Pricing is delicate. A pro understands several factors. Location is critical. One side of the street may not sell the same as across the street just because of what one backs to vs. the other. Watch what others like it have sold for. Get skilled on what adjustments to make for those differences. Watch days on market. Know if you're in a multiple offer market (rising market) because then you are not paying attention only to the past sales, but the direction the sales are going - forward. Like I said, it's delicate and takes some skill.

As far as psychology - the .99 has been around forever and a day. But think data driven and you will be on the even 00 because you catch the range 150-200 and you also populate into the 200-250 search, for example. So... if you're going to trick people go .99 and if you're going to benefit from data, go with even numbers.

I am not into tricks.

Jun 16, 2016 11:44 PM
Ambassador
5,030,748
Jeff Dowler, CRS
eXp Realty of California, Inc. - Carlsbad, CA
The Southern California Relocation Dude

Depends on the local market and the price point

Jun 16, 2016 11:33 PM
Rainmaker
1,157,785
FN LN
Toronto, ON

Yes and yes.

Jun 16, 2016 11:19 PM
Rainmaker
1,617,866
Harry F. D'Elia III
WEDO Real Estate and Beyond, LLC - Phoenix, AZ
Investor , Mentor, GRI, Radio, CIPS, REOs, ABR

I personally like round numbers myself. Let's start negotiating.

Jun 18, 2016 08:39 AM
Ambassador
3,382,984
Chris Ann Cleland
Long and Foster Real Estate - Gainesville, VA
Associate Broker, Bristow, VA

I find 8's work great.  $248K vs. $249K.  An unusual number is never a bad idea, but the precise numbers like the one in your question are actually hard to remember so I personally don't think they would work.

Jun 18, 2016 02:58 AM
Rainmaker
986,552
Jennifer Mackay
Counts Real Estate Group, Inc. - Panama City, FL
Your Bay County Florida Realtor 850.774.6582

Markets differ - in my area fancy techniques seldom sell a property

Jun 17, 2016 09:55 PM
Rainmaker
2,349,535
Lise Howe
Keller Williams Capital Properties - Washington, DC
Assoc. Broker in DC, MD, VA and attorney in DC

I go with even numbers 200 or 550 etc

Jun 17, 2016 12:54 PM
Rainmaker
3,986,196
William Feela
WHISPERING PINES REALTY - North Branch, MN
Realtor, Whispering Pines Realty 651-674-5999 No.

I do not, I use all kinds of pricing

Jun 17, 2016 12:24 PM
Rainmaker
864,658
Les & Sarah Oswald
Realty One Group - Eastvale, CA
Broker, Realtor and Investor

Stage it and offers will usually arrive at a much higher value.

Jun 17, 2016 10:57 AM
Rainmaker
1,712,551
Joe Pryor
The Virtual Real Estate Team - Oklahoma City, OK
REALTOR® - Oklahoma Investment Properties

Yes, some price points are psychological as well as knowing agent habits in search. They will search up to $200,000 but not $205,000 so don't price at $201,000.

Jun 17, 2016 08:25 AM
Rainmaker
472,114
JoAnn Moore
The Mortgage Market of Delaware - Georgetown, DE
Home Loans in Delaware

Hi Chrissi,

Another part of the pricing but maybe worth mentioning:

If you add a bonus amount for the realtor bringing you the buyer you may get some of the realtors that look especially for this type of extra income. 

Jun 17, 2016 06:31 AM
Rainmaker
1,839,276
Lyn Sims
Schaumburg, IL
Real Estate Broker Retired

Lots of different things employed that's for sure. I've so far tried everything 750's, 888's. 

If you have to go under your competition in the MLS that's usually when the 750's kick in for me.  I still do not round up like to 200,000. I'm not sure I buy it 100%.  I know that the home will in a double search from a buyer but then there is the psychology of the 999.

Hell, even Walmart uses the 99.

Jun 17, 2016 06:09 AM
Rainmaker
1,466,207
Michael Setunsky
Woodbridge, VA
Your Commercial Real Estate Link to Northern VA

Chrissi Chapman Topoleski No techniques, just pricing supported by comps and letting the client decide on the price.

Jun 17, 2016 05:15 AM
Ambassador
4,650,977
Brian England
Ambrose Realty Management LLC - Gilbert, AZ
MBA, GRI, REALTOR® Real Estate in East Valley AZ

I have not studied it at all, but I would be willing to bet that I am doing it without even knowing it, haha.

Jun 17, 2016 03:46 AM
Rainmaker
1,497,698
Ryan Huggins - Thousand Oaks, CA
https://HugginsHomes.com - Thousand Oaks, CA
Residential Real Estate and Investment Properties

The "dollar under" method is common out here, but I find agents can be lazy.  They are not going to look outside of the price range, like I do (5k in both directions) and you may miss that buyer with a 200k floor.

Jun 17, 2016 03:44 AM
Rainmaker
4,969,239
Dorie Dillard Austin TX
Coldwell Banker Realty ~ 512.750.6899 - Austin, TX
NW Austin ~ Canyon Creek and Spicewood/Balcones

Knowing your market is the key..every market varies. I would however suggest never to price @$199,990, always a $200,000. Buyers search in $50,000 increments and if you price your listing at $199,900 your home doesn't get picked up from buyers searching from $200-$250,000. I use the law of the nines when its $159,900, $169,900, $179,900 and $189,900 never at $150,000 or $200,000.

Jun 17, 2016 01:08 AM
Ambassador
6,348,779
Bob Crane
Woodland Management Service / Woodland Real Estate, KW Diversified - Stevens Point, WI
Forestland Experts! 715-204-9671

Sounds interesting Chrissi, let me know when you write a post on this topic, I am sure that I could learn a lot from this.

Jun 17, 2016 12:41 AM
Rainmaker
3,988,007
Debbie Reynolds, C21 Platinum Properties
Platinum Properties- (931)771-9070 - Clarksville, TN
The Dedicated Clarksville TN Realtor-(931)320-6730

I heard one instructor say that pricing at even numbers that match up with search parameters was the way to go such as $200,000 would get people searching $175,000 to $200,000 and those searching $200,000 to $225,000. Rarely do people type in $199,999 they go for even numbers and see what comes up. He said you could get double the lookers.

Jun 17, 2016 12:31 AM