Buying a Listing in Utah County   

Some Utah County Realtors seem willing to listen to your input on price. This isn't a Realtor that cares about putting the most money in your pocket. This is an agent that is willing to list your home at your price not the correct price.  

After all, everyone else does it! - The truth is that you may have just met an agent engaging in a questionable sales practice called "buying a listing." He "bought" the listing by suggesting you might be able to get a higher sales price than the other local agents recommended. Most likely, he is quite doubtful that your Utah home will actually sell at that price. The intention from the beginning is to eventually talk you into lowering the price.  This is a dishonest practice in my opinion.

Why do some agents in Utah County "buy" listings this way? - There are basically two reasons. A well-meaning and hard working Utah County Realtor can feel pressure from a homeowner who has an inflated perception of his home’s value. On the other hand, there are some agents who engage in this sales practice routinely. I have been selling homes in Utah County since 1995. Nothing is more upsetting than losing a listing to an inexperienced agent that overprices the home. I have asked sellers why they choose a particular agent. They tell me that the Realtor suggested a high price. Sellers often throw experience and logic out the window for a dreamy high price.

If you start out with a high price on your home, you may have just added to your stress level.  Selling a home in Utah County is stressful enough. There will be a lot of "behind the scenes" action taking place that you don’t know about. Contrary to popular opinion, the listing agent does not usually attempt to sell your home directly to a homebuyer. That would be inefficient. According to the National Association of Realtors you have a 5% probability that your listing agent will find the actual buyer that buys your home.  Team Teasdale Realty finds a buyer on between 20-30% of their listings.  This is because they are anxiously engaged in marketing and trying to quickly sell their listings to their sellers.

Listing agents market and promote your home to the hordes of other local agents on the Wasatch Multiple Listing Service. During the first couple of weeks of listing your home on the MLS your home should be a flurry of activity with buyer’s agents. 

Pricing Your Utah Home Right - If you and your Realtor have overpriced your home fewer agents will show your home. After all, they are Realtors, and it is their job to know local market conditions and home values. If your house is dramatically above market, why waste time? Their time is better spent previewing homes that are priced realistically. If you start out with a high sales price, then drop it later -- your house is "old news." You will never be able to recapture that flurry of initial activity you would have had with a realistic price. Your house could take longer to sell.

Even if you do successfully sell at an above market price to an uninformed buyer, your buyer will need a mortgage. The mortgage lender requires an appraisal. If comparable sales for the last six months and current market conditions do not support your sales price, the house won’t appraise. Your deal falls apart. Of course, you can always attempt to renegotiate the price, but only if the buyer is willing to listen. Don't overprice your home. Price your home correctly to sell.  Paul Teasdale will give you some very solid advise on what your home is worth.  His opinion may be very different from an appraisal or other less experienced Realtors.