SWEOB

[vagabondo]

What is the origin and point of the “range”? It seems to be a California thing.

[XBoxBoy]

The point is to get you interested in a house that is more than your desired purchase price. For instance, say you were looking for a house around 700k. Your realtor might take you to place with value ranges of 699,000 – 849,876. You walk in and love the place, and make and offer for 700k. But then you’re told, no, they seller really wants a better offer and has countered at 830k. You end up settling for 800k because you really love the place. (At least that’s the way the realtors hope it will work out.)

Bottom line here is it’s a technique (gimmick?) to get buyers to look at more expensive houses. All part of the MLS games that get played.

XBoxBoy

[XBoxBoy]

The point is to get you interested in a house that is more than your desired purchase price. For instance, say you were looking for a house around 700k. Your realtor might take you to place with value ranges of 699,000 – 849,876. You walk in and love the place, and make and offer for 700k. But then you’re told, no, they seller really wants a better offer and has countered at 830k. You end up settling for 800k because you really love the place. (At least that’s the way the realtors hope it will work out.)

Bottom line here is it’s a technique (gimmick?) to get buyers to look at more expensive houses. All part of the MLS games that get played.

XBoxBoy

[XBoxBoy]

The point is to get you interested in a house that is more than your desired purchase price. For instance, say you were looking for a house around 700k. Your realtor might take you to place with value ranges of 699,000 – 849,876. You walk in and love the place, and make and offer for 700k. But then you’re told, no, they seller really wants a better offer and has countered at 830k. You end up settling for 800k because you really love the place. (At least that’s the way the realtors hope it will work out.)

Bottom line here is it’s a technique (gimmick?) to get buyers to look at more expensive houses. All part of the MLS games that get played.

XBoxBoy

[XBoxBoy]

The point is to get you interested in a house that is more than your desired purchase price. For instance, say you were looking for a house around 700k. Your realtor might take you to place with value ranges of 699,000 – 849,876. You walk in and love the place, and make and offer for 700k. But then you’re told, no, they seller really wants a better offer and has countered at 830k. You end up settling for 800k because you really love the place. (At least that’s the way the realtors hope it will work out.)

Bottom line here is it’s a technique (gimmick?) to get buyers to look at more expensive houses. All part of the MLS games that get played.

XBoxBoy

[XBoxBoy]

The point is to get you interested in a house that is more than your desired purchase price. For instance, say you were looking for a house around 700k. Your realtor might take you to place with value ranges of 699,000 – 849,876. You walk in and love the place, and make and offer for 700k. But then you’re told, no, they seller really wants a better offer and has countered at 830k. You end up settling for 800k because you really love the place. (At least that’s the way the realtors hope it will work out.)

Bottom line here is it’s a technique (gimmick?) to get buyers to look at more expensive houses. All part of the MLS games that get played.

XBoxBoy

[svelte]

You’re right, XBoxBoy, but I have thought about this alot and I think there is more to it.

You have covered the realtor psychological game with the BUYER.

But there is also a psychological game with the SELLER going on as well.

If the seller told the realtor they wanted $850K, the realtor typically comes back and says “OK, but we need to get a lot of ppl coming through…we’ll use a range $699K-$850K to get people to come by, fall in love with the place, and come up in price to $850K”. Just like you explained in your post.

But what this also does is to get the seller used to the idea of a smaller selling price for their home….they have now seen $699K in big bold letters as an acceptable price for their house on the MLS. When the buyer comes back with $800K, suddenly it doesn’t seem so bad.

It’s all mind games.

[svelte]

You’re right, XBoxBoy, but I have thought about this alot and I think there is more to it.

You have covered the realtor psychological game with the BUYER.

But there is also a psychological game with the SELLER going on as well.

If the seller told the realtor they wanted $850K, the realtor typically comes back and says “OK, but we need to get a lot of ppl coming through…we’ll use a range $699K-$850K to get people to come by, fall in love with the place, and come up in price to $850K”. Just like you explained in your post.

But what this also does is to get the seller used to the idea of a smaller selling price for their home….they have now seen $699K in big bold letters as an acceptable price for their house on the MLS. When the buyer comes back with $800K, suddenly it doesn’t seem so bad.

It’s all mind games.

[svelte]

You’re right, XBoxBoy, but I have thought about this alot and I think there is more to it.

You have covered the realtor psychological game with the BUYER.

But there is also a psychological game with the SELLER going on as well.

If the seller told the realtor they wanted $850K, the realtor typically comes back and says “OK, but we need to get a lot of ppl coming through…we’ll use a range $699K-$850K to get people to come by, fall in love with the place, and come up in price to $850K”. Just like you explained in your post.

But what this also does is to get the seller used to the idea of a smaller selling price for their home….they have now seen $699K in big bold letters as an acceptable price for their house on the MLS. When the buyer comes back with $800K, suddenly it doesn’t seem so bad.

It’s all mind games.

[svelte]

You’re right, XBoxBoy, but I have thought about this alot and I think there is more to it.

You have covered the realtor psychological game with the BUYER.

But there is also a psychological game with the SELLER going on as well.

If the seller told the realtor they wanted $850K, the realtor typically comes back and says “OK, but we need to get a lot of ppl coming through…we’ll use a range $699K-$850K to get people to come by, fall in love with the place, and come up in price to $850K”. Just like you explained in your post.

But what this also does is to get the seller used to the idea of a smaller selling price for their home….they have now seen $699K in big bold letters as an acceptable price for their house on the MLS. When the buyer comes back with $800K, suddenly it doesn’t seem so bad.

It’s all mind games.

[svelte]

You’re right, XBoxBoy, but I have thought about this alot and I think there is more to it.

You have covered the realtor psychological game with the BUYER.

But there is also a psychological game with the SELLER going on as well.

If the seller told the realtor they wanted $850K, the realtor typically comes back and says “OK, but we need to get a lot of ppl coming through…we’ll use a range $699K-$850K to get people to come by, fall in love with the place, and come up in price to $850K”. Just like you explained in your post.

But what this also does is to get the seller used to the idea of a smaller selling price for their home….they have now seen $699K in big bold letters as an acceptable price for their house on the MLS. When the buyer comes back with $800K, suddenly it doesn’t seem so bad.

It’s all mind games.

[Ex-SD]

It’s one of the most idiotic ploys that has ever been attempted by the real estate industry. Can you imagine going to a car lot where the cars where “range priced”? How many do you think they would sell? I saw a video somewhere on the web a couple of years ago where a R.E. sales trainer was explaining why R.E. brokers should use this tactic.
When we decided to sell our principal residence and our rental home in San Diego in 2005, we interviewed several agents and two of them really tried to push this cockamamey marketing idea. We didn’t / we sold both places, pronto / we would never use an idiotic tactic like this to sell a home. Pure foolishness.

[Ex-SD]

It’s one of the most idiotic ploys that has ever been attempted by the real estate industry. Can you imagine going to a car lot where the cars where “range priced”? How many do you think they would sell? I saw a video somewhere on the web a couple of years ago where a R.E. sales trainer was explaining why R.E. brokers should use this tactic.
When we decided to sell our principal residence and our rental home in San Diego in 2005, we interviewed several agents and two of them really tried to push this cockamamey marketing idea. We didn’t / we sold both places, pronto / we would never use an idiotic tactic like this to sell a home. Pure foolishness.

[Ex-SD]

It’s one of the most idiotic ploys that has ever been attempted by the real estate industry. Can you imagine going to a car lot where the cars where “range priced”? How many do you think they would sell? I saw a video somewhere on the web a couple of years ago where a R.E. sales trainer was explaining why R.E. brokers should use this tactic.
When we decided to sell our principal residence and our rental home in San Diego in 2005, we interviewed several agents and two of them really tried to push this cockamamey marketing idea. We didn’t / we sold both places, pronto / we would never use an idiotic tactic like this to sell a home. Pure foolishness.

[Ex-SD]

It’s one of the most idiotic ploys that has ever been attempted by the real estate industry. Can you imagine going to a car lot where the cars where “range priced”? How many do you think they would sell? I saw a video somewhere on the web a couple of years ago where a R.E. sales trainer was explaining why R.E. brokers should use this tactic.
When we decided to sell our principal residence and our rental home in San Diego in 2005, we interviewed several agents and two of them really tried to push this cockamamey marketing idea. We didn’t / we sold both places, pronto / we would never use an idiotic tactic like this to sell a home. Pure foolishness.

[Author]

Posts