Will accept offers from Y to Z ? (San Diego: buyers, price)

[Grass Is Greener]

I am relocating from the east coast and I am having a hard time understanding the purpose of property listings that instead of a price, have a price range. I've never dealt with it before. My agent explained to me how it works but I'm not sure if I fully understand it. What exactly it means?

[MrsMichelle]

It's probably like bidding. You give your highest and best. If someone else goes higher then they win. Depends on how long of a period they accept offers.

[Steve97415]

Like so many things Californian, it really has no purpose at all since any listed price is supposed to be a flexible negotiation point. The best I can figure is, "don't bother to even enter a bid below this level" (low end of range) and "offer this much and we'll accept your offer immediately" (high end). Many California markets have had properties that routinely sold for above the asking price in protracted bidding wars. I suppose that is the justification for a range.

[ymbk]

Ah, yes. I think we can thank phenom like Ebay for this trend. Basically the buyer is betting enough people will love their place enough to get bid high. They figure if they list a set price, you'll try to come in under that whereas if they list a range you'll shoot high in an effort to be sure you get the goods. Kind of like closed bids.

[Juiceatob]

In the San Diego area the housing market has slowed considerably. Sellers used to give a "price window" and many times buyers would outbid each other until the seller was getting more than he was listing for. Many listings now simply state an asking price. If there is a window, it is phrased, "seller will entertain offers in the ....... to ........ range."