What are the dangers of over valuing your property for sale?

Some agents are currently over valuing properties by as much as £20,000 to £30,000 in my area. They are doing this because they are desperate to get properties on the market.

The problem is, it unrealistically raises the seller’s expectations of what price they may achieve. Which means the client might start looking for properties in the wrong price bracket or worse still lose the property they have set their heart on.

Also this approach can be very frustrating, as the best placed purchasers will not be interested in viewing the property. This is because most buyers become expert in the price range they are looking to buy in, so an over priced property stands out like a sore thumb to them.

Another problem is, the only way interest is going to be created is by reducing the price. This disappoints the seller and does not look good to the buying public, especially if it is done too many times.

So how can you avoid falling into this trap? Firstly only use an agent that backs up their valuations with comparable sales data, so they prove to you what is selling, at what price and what has happened to the market since that sale. Secondly try a sales technique we have used for years,“Offers in excess “this works well and often achieves a higher sale price.
It also shows the best price achievable in any market.

It is always tempting to place your property on the market at a high price and see what happens but the agent that does that is doing you no favours.