Edit ModuleShow Tags

The Price Might Be Right

Let the bidding war begin


You've got a great house. You've fixed most of the problems and even given the place the ever-insisted-upon "curb appeal."

You've got a great real estate agent; you've done your homework, and the daily headlines – regionally and nationally – insist Colorado's real estate is becoming some of the most desired and expensive in the country. Let the bidding wars begin.

Or not.

Though the current real estate climate would suggest that today's scene is a “seller’s market,” don't get overly confident and overprice your property. It’s a classic mistake made by many owners, especially in a hot seller’s market. There are so many internet platforms, and everyone has access. It is easy to be lured into thinking your property is far more valuable than may be true. The reality is a savvy property owner should listen to his or her real estate professional who is using years of knowledge and a massive database to properly price your home.

Here are three very different scenarios, all experienced this July by a real estate agent in our office:

1. While preparing to list a home in a popular neighborhood, the agent prepared a Comparative Market Analysis (CMA) to accurately gauge the appropriate price to list the home. The seller felt the agent was being far too conservative in her estimate and requested a list price far above what was suggested. The seller’s knowledge came from a very popular website and had no basis.

A compromise was reached, but the home was still overpriced and languished on the market – It wrangled few showings and no offers. A couple price adjustments still did not produce any offers. Finally, a buyer came along and made a low offer.

At this point the seller was weary of showings and capitulated to the low offer. The irony of this story is that the low offer was several thousand less than what the agent had originally suggested. The moral of the story is that buyers will not bother to look at properties they think are overpriced. Once a seller starts lowering the price there is the perception that there is something wrong with the property and buyers sense that there is “blood in the water.”

2. In this scenario, the agent prepared a CMA that was nearly $100,000 less than the seller thought his home was worth. However, in this situation, the seller decided to trust the agent and list at the suggested price. On day one, we had two showings: One of which produced a full price offer. Perfect, right? Not! The buyers still wanted to feel they were getting a great value and asked for some inclusions that the seller was not willing to provide. After many negotiations, a price was reached that seemed fair to all concerned. This story is continuing and both agents involved in the transaction are doing a masterful job of representing their respective clients, which illustrates the importance of a professional real estate agent who has years of experience to draw upon when it comes to sensitive negotiations.

3. This scenario is a situation where everything goes right. The seller desired a quick sale of her home due to a personal need. The agent prepared a CMA with a price that took her needs into account and the home went on the market just below anticipated value. This produced a frenzy of showings and created a “multiple offer situation.” Ultimately, the home went under contract at $15,000 more than list price. The seller was very cooperative, and every negotiation went smoothly, with compromises reached quickly. Both agents are seasoned professionals and their clients listened and incorporated their advice.


Time is money. So is effort, languishing (no offers) properties, unexpected stalls and failed agreements. Having the day-to-day, hands-on experience that a seasoned pro has, particularly one with specific knowledge and interest in your neighborhood, inevitably pays for itself.

This isn't about justifying or otherwise pitching the value of an agent. The reality is that, when your real estate sale is approached with a true, real-estate knowledge-base, 99 percent of sellers get what they want for their property, sometimes more than they initially want. A careful selection of an excellent, winning-track-record professional helps the selling process, and most often secures you, the seller, the best market price – all within a great time-frame.

Edit Module

Get more content like this: Subscribe to the magazine | Sign up for our Free e-newsletter

Edit ModuleShow Tags

Archive »Related Articles

Denver's Startup Ecosystem is Bolstered by Community

During DSW, discussions spanned a number of industries including technology, art, the outdoors, government, aerospace and much more. What I heard most consistently was that the community surrounding entrepreneurs here is what makes Denver unique.

How Treating Voting Like a Business Could Actually Improve It

In recent election cycles, Colorado (and Denver) have consistently boasted some of the highest voter turnouts in the country. In the 2018 midterm election, the state was ranked at No.2, second only to Minnesota, with 61.9% of eligible voters casting a ballot.

Alice Jackson Guides Colorado Toward a New Energy Future

Xcel's way forward includes cutting carbon emissions 80% from 2005 levels by 2030 and achieving net-zero carbon by 2050. In doing so, Jackson hopes to help provide reliable electricity in a safe, economical and sustainable manner.
Edit ModuleShow Tags
Edit ModuleEdit ModuleShow Tags
Edit ModuleShow Tags Edit ModuleShow Tags
Edit ModuleShow Tags Edit ModuleShow Tags
Edit ModuleShow Tags Edit ModuleShow Tags