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ADJUSTING YOUR ASKING PRICE. NEW PRICE. CENTURY 21 doesn’t draw attention to the market place that you have reduced your price, we refer to a price adjustment as a NEW PRICE so we “re-launch” your property on the market.If the initial marketing does not attract the desired offers, it may be necessary to consider varying the asking price. If the price remains the same for too long, the momentum of the marketing program is likely to fall away, affecting the property's profile and competitiveness. It is important not to vary the asking price too early because it sends a signal to prospective buyers that the price is not genuine or that the vendor is perhaps too keen to negotiate. Varying the asking price too late sends a signal that the seller is not aware of, or prepared to listen to, market forces - in other words, not genuine or realistic. Qualified buyers lose interest and the opportunities for receiving high offers diminish, along with the potential of achieving the best price at the end of the day. Research with past satisfied sellers tells us that there is a simple two-point rule indicating the appropriate time to vary the asking price. This rule is known as the Best Practice 2-2-7 Rule. There are two conditions which must be met before this rule can be applied. 1. The property must be well-presented and 2. The property must be professionally marketed to attract the attention of all current prospective buyers in the price Provided these two conditions have been met, research indicates that residential real estate achieves its best price if the asking price is varied when there have been two advertisements and no response, or two open homes and no shows, or seven inspections and no offers.
