There are three main pricing strategies:
- Aspirational
- Market
- Pseudo-Auction
Aspirational pricing is a tactic we often see in real estate to give properties an air of exclusivity and rarity. When done right, it’s a win-win for both agents and sellers...if it's the right home (which typically starts with being high-end luxury).
For us agents, aspirational pricing is all about attracting those buyers who are hunting for that special, high-end property. By listing at a higher price point, we aim to create a sense of prestige and scarcity. It’s a great way to draw in those who are willing to pay a premium for something unique.
This approach works especially well for those one-of-a-kind homes, historic gems, or properties in areas where listings are few and far between. But beware—if a property sits on the market too long, buyers might start thinking it’s overpriced, and that’s a situation we want to avoid.
From the seller’s side, aspirational pricing can be a powerful tool, but it comes with its own set of considerations. Sellers often have a deep emotional connection to their home, which can lead to setting a higher price than the market might support. Sometimes, it’s due to unrealistic expectations about the market or a lack of thorough research. It may also be the result of worries about "leaving money on the table."
Homes that are priced in an aspirational fashion might simply be deemed "overpriced" by buyers in the marketplace. If this is the case, they can sit on the market for long periods of time with little interest and no offers. This can lead to the home getting a stigma, like a "problem home" that just won't sell. In the end, this can lead to a below market sale price to account for these issues.
As you may have noticed, that's the opposite result of what these home sellers were looking for.
That’s where I come in. Working with a local agent like me, who knows the Portland market inside and out, can help you set a price that’s ambitious yet realistic. Together, we can find that sweet spot to attract the right buyers without letting your property languish on the market.
If you have any questions or need more info on how to price your home, feel free to reach out. I'm here to help!
