Real estate agents spend a lot of time thinking about pricing properties. In any office, “Do you have a second?” is usually followed up with a pricing opinion question. Agents discuss, debate and defend the merits of pricing based on their favorite methods, be it average sold price per square foot, sales price to list price ratio, or days on market compared to… “Hey, did you catch ‘The Americans’ last night?”
All of that said, where one prices a property is a function of two things: market forces and ego.
Let me explain. Continue reading