California Housing Forecast

Check out the clever strategy by the sellers at 9634 Babauta Rd in San Diego.  After listing unsuccessfully at $779K, they lowered the list price about 15% below fair market value, to $629K, and held an Open House last fall.   Buyers were coming by the droves to see this bargain.   The seller succeeded in getting a lot of traffic through the door.

I know what some of you are thinking:  why would I want a lot of traffic through my door, if it means I'm going to list my house for 15% below market and lose money?  Lowering the price to $629K meant he probably got around $600K for his house.  No thanks!  That's what I thought at first.  But, the sale price is (drum roll please....):  $ 740K! 

So lowering the price from $779K to $629K resulted in a sales price of $740K.   I'm not sure if he was just having a fire sale by reducing the price so much, or if he just came up with a clever marketing strategy, but it worked:  the super low price brought many people through his door.  Some fell in love with the house, and bid it up to fair market value.

In this competitive climate, the key is to have a house well presented, and get a lot of traffic through the door.

Thanks to realtor Bob Casagrand for tipping me off to this story.