Stranger things have been known to happen.
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Just today, 1941 Leavenworth, a 4 bed, 3.5 bath, single family home in Russian Hill, closed escrow for a cool $2,000,000. Asking price, $1,799,000…in this market!? Guess it’s not THAT bad after all. Oh yeah, we forgot to add…six make that eight offers.
It was priced really low though, I thought.
Yes. Aggressive pricing is required to get properties to move in this market. Overbid’s are simply a reflection of an under priced home.
or to reuse Alex’s famous sentence:
Dont look at the asking price, or the sold price. Just count the 1, 2, 3, 4, no FIVE frustrated buyers with $1.800.000 plus and still looking for a house. (and I’m guessing “cash” offer as I doubt anybody would write a 90% loan offer on close to $2M property – not now).
There wouldnt be any overbid if there had been only one client after 3 months, no matter how underpriced it was…
Underpricing is a strategy like any other. In that case, it went fishing for 6 buyers who might be very discreet and quiet and waiting for the house to show on MLS, AND it sold the house at a good price (for buyer and seller), in a timely manner. Moving properties is totally smarter than competing for stalefishdom! (cf. rough negoctiation post, highway to stalefish AND multiple major price reductions)
Actually, 8 offers, and we pulled comps from $1.5 to $2.6m to price it. It’s an unusal property therefore hard to price accurately – there was a partial brick foundation and lots of updating needed.
That listing was a lot of work actually and as such my feathers ruffle a little at the implication we ‘simply’ underpriced it. We marketed it well, staged it well, prepared it well and priced it well. Overall, it was a two year process to bring it to market. Fortunately the hard work, as it usually does, paid off.
Meredith – Why was it a two year process to bring it to market? And why is it considered an “unusual property”?
Looks great to me, and I think at $2million, the buyers got a GREAT DEAL! I would think it’d go for $2.2 or $2.3 million for that size honestly, unless you think there’s $100,000+ in updating and foundation work?
Meredith, congrats on getting a deal done. That alone is a great accomplishment. Although I’d have to think that this place would have sold for more at some point within the past 24 months. Even if it had been thrown on the market.
Alex, man… I miss the other thread on the AH realtor. :(
Eddy,
Had to pull the other thread. My clients requested it come down, because of sharks like you trolling MLS identifying which property we were talking about. ;-) No big. I’ll put it up when all is said and done and update everyone.
OK, sorry. Didn’t mean to do that but was also trying to give you the heads up. Also, I still think my suggestion on tactic is a good one. Good luck.