Most fixer upper investors are flooded with house flip tips but still have no clue how to flip a house fast. Flipping houses in today’s market is extremely challenging. With that in mind, we meet with our investors early on to establish clear objectives on pricing.
Many sellers believe that it is still okay to price their home too high thinking that they will drop the price at a future date and will be inundated with offers that very day. This reasoning comes from a fundamental lack of understanding about pricing in real estate. You see, real estate is not a commodity. Each house is different and buyers purchase based on the way a home “feels”. Because this is the case, you need to do everything possible to sell when the house first comes on the market.
The best way to do this is to properly prepare your house for sale AND to create a “worry” price. This pricing strategy may seem a bit more aggressive initially to the seller. However, they must understand the whole picture behind worry pricing.
We like to create a “worry” price so that any buyer that walks into the home, will “worry” that someone else might buy it. We have to lure buyers in by price, and hope they fall in love once inside. If we price a home right from the beginning, the home will sell more quickly and for more money as compared to selling a house flip that has had a price drop. In the end, being priced right to begin with will net the house flipping seller more than being over priced and having to reduce the price some time over the listing period.
To further your education after watching the video, make sure to check out our breakdown of the latest courses and events dealing with today’s unique real estate market.
Also, for a limited time, you can still access our FREE REAL ESTATE TOOLS. From novices to experienced house flippers, they will save you money and help take you to the next level.