Selling above asking price? Heres some tips!
How a Real Estate Agent Can Sell Property Above Asking Price
It’s not just about getting lucky….it’s about strategy, market knowledge, and skillful negotiation, and professional acumin to generate leads. Here’s how a real estate agent can effectively sell property above asking price.
Price it Right from the Start
It might sound surprising but pricing a property correctly can often lead to offers above asking price. Pricing correctly from the start is crucial for generating interest. If a home is priced too high, potential buyers may be discouraged from even making an offer. On the flip side, pricing it too low could attract more interest but might leave money on the table.
A real estate agent should conduct a thorough Comparative Market Analysis (CMA), examining similar properties in the area, recent sales, and current market conditions. This helps to price the property competitively but still leaves room for negotiation, often creating the potential for a bidding war.
Stage the Property for Maximum Appeal
First impressions matter and this is especially true in real estate. A well-staged home allows buyers to see it's full potential and makes it easier for them to envision themselves living there. This alluring image of feeling as if you live there can drive people to act quickly and with urgency.
Real estate agents can hire professional stagers or provide advice on decluttering, rearranging furniture, and adding decorations to highlight the home’s best features. A clean, well-maintained property creates an impression of value, which can justify a higher price for the buyer. Optics are incredibly important in order to achieve the goal if reaching above asking price
Market the Property Like a Pro
Effective marketing is the key to getting more eyes on a property. The wider the exposure, the more likely the property will attract competitive offers, some of which may exceed the asking price. This is one reason why improving your personal branding, and creating a sense of reliability and trust is so important- you will have more options with clients.
An agent can create a tailored marketing plan that includes:
High-quality photography and virtual tours: Today’s buyers often start their search online. Having visually appealing, professional-grade photos and 3D tours can help make a property stand out in a sea of amateurs and blasé listings with no aesthetic draw.
Targeted online marketing: Using social media platforms, real estate websites, and email campaigns can help create buzz. By targeting the right demographic, agents can draw in a larger pool of potential buyers.
Open houses: Hosting well-planned open houses can bring in more buyers who are ready to purchase, sometimes even prompting multiple offers.
Create Urgency and Exclusivity
One effective tactic that real estate agents use to drive up demand is creating urgency. This can be done in several ways:
Offer deadlines: Set an offer deadline or a "highest and best" offer date. This tactic encourages buyers to submit their most competitive offers to avoid losing out.
Mention multiple offers: Casually hinting that there are other interested parties can motivate potential buyers to act quickly and bid higher to secure the property.
Highlight property scarcity: If the home is unique in any way or is in a desirable location, emphasizing its limited availability can push buyers to be more aggressive with their offers.
Negotiation Skills Matter
A skilled negotiator can make all the difference in securing a sale above asking price. During the negotiation process, it’s not just about price – agents also need to navigate contingencies, closing dates, and other terms that can influence the final deal.
If the agent is able to manage the negotiation effectively, they can not only keep the buyer at the table but also find creative ways to get them to increase their offer. Sometimes, buyers will increase their offer in exchange for more flexible terms, such as quicker closing or fewer contingencies.
Want to get better at negotiating? Never Split the Difference - Chris Voss, is a good book to look into to get a better insight on this skillset!
Pre-Qualify Potential Buyers
Pre-qualifying buyers ensures that only serious, financially capable buyers are making offers. Agents should encourage buyers to get pre-approved for a mortgage, which helps them gauge whether a buyer can afford to go above the asking price. If a buyer is pre-approved and can provide a larger deposit or waive certain contingencies, they may be in a better position to secure the property even if their offer exceeds the list price.
Highlight the Property’s Potential for Future Value
Buyers often pay more when they see a property’s potential for long-term appreciation. If an agent can showcase the property’s location, potential for expansion, or upgrades that can increase value over time, this can help justify an asking price that may seem high but is actually an investment in the future.
So, those are some tips to help sell above listing. There is a combination of things that need to take place to ensure you have the highest chances. If you decide to improve your marketing value and reach, Property Launch can at least help in that one department. Feel free to reach out!
