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How to sell your South Beach condo faster and get more money for it

If you are planning on selling your south beach condo, chances are you would like to sell it as fast as possible and for the most money possible.

The easiest way to succeed in doing so it by pricing your property right from the get go. Most sellers seem to think that overpricing is a good strategy as they will then be able to negotiate and still get the money the want or money. Unfortunately the days where this strategy worked are long gone and buyers that blindly overpay for properties have gone extinct.

So how would pricing your South Beach condo right at or below market value yield you more money ?

Check out below table. As you can see, properties that sold within 30 days of being listed, sold for an average of 101.35% of the list price. Yes, you are reading this correctly. These are south beach condos that are actually selling for more than the list price (read this article for more detailed explanation on this phenomenon)

Once you get past the 30 day mark, the sales price to list price ratio drops to somewhere in the 93-94% range and it further declines to 90% after 120 days.

South Beach condos days on market

Source: South Florida MLS

If you are planning on selling your south beach condo, chances are you would like to sell it as fast as possible and for the most money possible.

The easiest way to succeed in doing so it by pricing your property right from the get go. Most sellers seem to think that overpricing is a good strategy as they will then be able to negotiate and still get the money the want or money. Unfortunately the days where this strategy worked are long gone and buyers that blindly overpay for properties have gone extinct.

So how would pricing your South Beach condo right at or below market value yield you more money ?

Check out below table. As you can see, properties that sold within 30 days of being listed, sold for an average of 101.35% of the list price. Yes, you are reading this correctly. These are south beach condos that are actually selling for more than the list price (read this article for more detailed explanation on this phenomenon)

Once you get past the 30 day mark, the sales price to list price ratio drops to somewhere in the 93-94% range and it further declines to 90% after 120 days.

 

If you wonder why this is happening, it’s actually pretty simple.

When you list your South Beach condo for sale, it gets the most exposure within the first 1-2 weeks of being entered in the MLS. If it’s priced right, all agents working the area will present it to they buyers and urge them to make an offer quickly since the property is priced well and will most likely move quickly.  They will also advise them to make an offer at or above list price since that’s what the property is worth and there is no chance of winning the bid in a multiple offer situation if you are coming in with a lowball offer.

Let’s look at the other scenario. Your property started out as priced above market. Most agents will skip it and show properties that are priced right first. It sits on the market for months, most likely going through several price reductions in an effort to attract an offer.

When you finally get somebody to take notice, they will look at the history and see that the property started out as being priced too high and has been reduced several times our several months.To real estate agents in South Beach, this will give the impression that you are probably not a very motivated seller, therefore they will not be presenting your property to as many  buyers as they could, however if they do happen to find an interested buyer, the buyer will likely think that you as the seller are probably desperate by now and will therefore be more open to lower offers.

Either way you are doing yourself a disservice by getting less exposure, thus attracting less offers and lower offers. I know it’s not what a seller likes to hear, but if you are serious about selling your South Beach condo, anything but pricing it right at market price would be foolish. And you if are not serious about selling it, why would you list it anyway. After all it’s a waste of everybody’s time and we all know (or at least firmly believe) that you will get more money for your South Beach condo if you can wait a few year before selling it.

Now is not the time to hope for a miracle when selling your South Beach condo, however if you are serious and realistic about pricing, you will sell it. For more money. And quickly too !

To sell your South Beach condo with us just get a free valuation of your property, please fill in the form below

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