U.S. CitiesCity-Data Forum Index
Go Back   City-Data Forum > General Forums > Real Estate
 [Register]
Please register to participate in our discussions with 2 million other members - it's free and quick! Some forums can only be seen by registered members. After you create your account, you'll be able to customize options and access all our 15,000 new posts/day with fewer ads.
View detailed profile (Advanced) or search
site with Google Custom Search

Search Forums  (Advanced)
Reply Start New Thread
 
Old 04-19-2012, 05:40 AM
 
903 posts, read 3,340,605 times
Reputation: 396

Advertisements

Hi. Im guessing it means that that is the price range the sellers are looking to sell. Why do people do this? Does that generally mean they wont counter or dont want to hear offers that are out of this range? I was just hoping for some experiences or insight. Thanks
Rate this post positively Reply With Quote Quick reply to this message

 
Old 04-19-2012, 06:51 AM
 
Location: Phoenix, AZ > Raleigh, NC
17,519 posts, read 23,218,690 times
Reputation: 29979
What site are you looking at? Can you provide a link?
Rate this post positively Reply With Quote Quick reply to this message
 
Old 04-19-2012, 07:22 AM
 
Location: Martinsville, NJ
6,163 posts, read 12,102,685 times
Reputation: 3978
Quote:
Originally Posted by amyla View Post
Hi. Im guessing it means that that is the price range the sellers are looking to sell. Why do people do this? Does that generally mean they wont counter or dont want to hear offers that are out of this range? I was just hoping for some experiences or insight. Thanks
It's a concept called "Value Range Pricing". The idea is that you are marketing to buyers searching in a wider range of prices, and that, subject to other factors, you will consider offers anywhere in that range. In talking about it, my colleagues & I can't see any reason for a buyer to ever offer anywhere near the high price of the range. It never gained any traction in my market, so I have no first hand experience, but apparently it was popular in California for a while.

My suggestion to buyers is to not worry about it. You like the house? You'd live in the house if you can get it for an acceptable price? Then make the offer YOU think is fair. They can respond however they like. If you don't offer, you'll just never know.
Rate this post positively Reply With Quote Quick reply to this message
 
Old 04-19-2012, 07:30 AM
 
683 posts, read 354,101 times
Reputation: 513
I'm guessing the thought behind it is that the sellers are hoping for multiple offers, and then they would choose the highest.
Rate this post positively Reply With Quote Quick reply to this message
 
Old 04-19-2012, 08:11 AM
 
Location: DFW - Coppell / Las Colinas
38,188 posts, read 42,739,091 times
Reputation: 47393
Quote:
Originally Posted by Bill Keegan View Post
It's a concept called "Value Range Pricing". The idea is that you are marketing to buyers searching in a wider range of prices, and that, subject to other factors, you will consider offers anywhere in that range. In talking about it, my colleagues & I can't see any reason for a buyer to ever offer anywhere near the high price of the range. It never gained any traction in my market, so I have no first hand experience, but apparently it was popular in California for a while.

My suggestion to buyers is to not worry about it. You like the house? You'd live in the house if you can get it for an acceptable price? Then make the offer YOU think is fair. They can respond however they like. If you don't offer, you'll just never know.
I've never understood "Range Pricing" either. I think it's more of a sales gimmick so that agent can get the listing. The 2 agents in our area who do it are less then stellar in their reputations.
Rate this post positively Reply With Quote Quick reply to this message
 
Old 04-19-2012, 08:17 AM
 
Location: Martinsville, NJ
6,163 posts, read 12,102,685 times
Reputation: 3978
Quote:
Originally Posted by Rakin View Post
I've never understood "Range Pricing" either. I think it's more of a sales gimmick so that agent can get the listing. The 2 agents in our area who do it are less then stellar in their reputations.
I agree, it seems like a bit of a gimmick to me too.

Also, how do you enter that listing? My MLS has a field for List price. I can't put in a high & a low when I enter a listing, I have to put in a definitive number. The few times I've seen it here, the listing agent enters a list price, then defines the "range" in a comments field. Do other MLS systems have a list price field that supports range pricing?
Rate this post positively Reply With Quote Quick reply to this message
 
Old 04-19-2012, 08:47 AM
 
Location: Southern New Hampshire
8,862 posts, read 15,302,848 times
Reputation: 29312
When I was looking at houses I saw one listing with a set price but then this in the comments: "Seller will entertain offers in the $xxx to $xxx range." I thought it was nuts in this very slow market, ESPECIALLY because they forgot to change the range as they dropped the listing price. So the listing price ended up as something like $250k but the comments still said "will entertain offers between $280k and $300k." Good luck with that!
Rate this post positively Reply With Quote Quick reply to this message
 
Old 04-19-2012, 10:57 AM
 
Location: DFW - Coppell / Las Colinas
38,188 posts, read 42,739,091 times
Reputation: 47393
Quote:
Originally Posted by Bill Keegan View Post
I agree, it seems like a bit of a gimmick to me too.

Also, how do you enter that listing? My MLS has a field for List price. I can't put in a high & a low when I enter a listing, I have to put in a definitive number. The few times I've seen it here, the listing agent enters a list price, then defines the "range" in a comments field. Do other MLS systems have a list price field that supports range pricing?
Our MLS has 3 fields.... Low Price, High Price then a box you check for Variable Pricing. It's at the very front where the list price is input into the system.
Rate this post positively Reply With Quote Quick reply to this message
 
Old 04-20-2012, 02:18 PM
 
2,727 posts, read 4,791,467 times
Reputation: 2342
Quote:
Originally Posted by amyla View Post
Hi. Im guessing it means that that is the price range the sellers are looking to sell. Why do people do this? Does that generally mean they wont counter or dont want to hear offers that are out of this range? I was just hoping for some experiences or insight. Thanks
Easy, it is called fuzzy mathematics.

Just make your offer $549-$649 and see what happens . May be you can even attach some probability with the range.
Rate this post positively Reply With Quote Quick reply to this message
 
Old 04-23-2012, 09:01 AM
 
2,891 posts, read 5,177,609 times
Reputation: 2127
Interesting. Are you sure it's not a spec house or something and depending on the price you pay, you get certain things?
Rate this post positively Reply With Quote Quick reply to this message
Please register to post and access all features of our very popular forum. It is free and quick. Over $68,000 in prizes has already been given out to active posters on our forum. Additional giveaways are planned.

Detailed information about all U.S. cities, counties, and zip codes on our site: City-data.com.


Reply
Please update this thread with any new information or opinions. This open thread is still read by thousands of people, so we encourage all additional points of view.

Quick Reply
Message:

Over $104,000 in prizes was already given out to active posters on our forum and additional giveaways are planned!

Go Back   City-Data Forum > General Forums > Real Estate
Similar Threads

All times are GMT -6.

© 2005-2021, Advameg, Inc. · Please obey Forum Rules · Terms of Use and Privacy Policy · Bug Bounty

City-Data.com - Contact Us - Archive 1, 2, 3, 4, 5, 6, 7, 8, 9, 10, 11, 12, 13, 14, 15, 16, 17, 18, 19, 20, 21, 22, 23, 24, 25, 26, 27, 28, 29, 30, 31, 32, 33, 34, 35, 36, 37 - Top