How Overpricing a Lake Granbury Home Can Cost a Homeowner

How Overpricing a Lake Granbury Home Can Cost a HomeownerWhen listing a Lake Granbury home for sale it can be tempting to set the price higher because you have a premier home in a desirable location. Homeowners are often unaware of how important the original listing price is to a home sale, and how it can impact the ability to sell your home. Here are some negative impacts overpricing your lake home can have. 

Today's Savvy Buyer

Homebuyers are more knowledgeable about the home-buying process than they were just a decade ago. Partially because no one wants to see another housing crisis like in 2009. Partially because there is way more access to information at our fingertips and technology rapidly advances. Homebuyers can now get information about a home just by opening up their phone. Buyers are more aware of making a smart purchase and not just taking someone else's word for it. They want to ensure they are investing large sums of money wisely. And with home affordability becoming more difficult, homebuyers are not looking to pay above market value.

Sitting Longer on the Market

The longer a home sits on the market, especially in a desirable area like Granbury and in a seller's market with low inventory, buyers begin to wonder what is wrong with the home. A home that is overpriced will sit on the market longer and this will cause even the non-savvy buyers to question why a great lake home isn't selling. 

Appraisal Gap

An overpriced home is guaranteed to run into an appraisal gap issue. An appraiser is not going to appraise any property above its fair market value. This becomes a big issue for buyers who are hoping to mortgage the property. When an appraisal gap occurs the buyer either needs to come up with the difference between the appraisal number and the amount they offered to purchase the home for, or renegotiate their offer price, or use the appraisal clause in the contract to back out of the sale. 

Leads to Price Cuts

Some homeowners believe they can start high with their asking price and if the home doesn't sell they can just lower the price later. Advertising a price cut can be detrimental. This is a straight giveaway to the home not selling. It also communicates that something is wrong. If a buyer is aware the home was listed too high in the first place they may not trust the homeseller. If a home price is cut it leads someone to automatically ask why they need to grab attention with a lower price. Many times when a home has to go through a price cut, it ends up selling for below the fair market value. This is where a majority of homeowners lose out on money because they started out too high in their asking price. 

The best way to sell a Lake Granbury home is to work with a real estate agent who specializes in lake properties in Granbury. An expert agent will advise their clients about fair market value using their market expertise on what similar properties are worth and the unique aspects of the home. They will help their client to price their home right from the get-go, get it ready to be seen by buyers, and market the home. All of these items, with the help of a seasoned professional, help homeowners get top-dollar offers for their lake homes.

 If you are considering selling your lake home,  I am here to help. The Knieper Team is an agency of real estate specialists who know lake homes. Let us help take most of the stress out of selling your home and help you sell your Lake Granbury home for the best price possible. Contact me any time with any Granbury real estate needs.

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