Comments on: Value Range Pricing and the Priced to Sit Phenomenon in SoCal http://www.socalbubble.com/2007/02/value-range-pricing-and-priced-to-sit.html Southern California is Experiencing a Real Estate Bubble like never before Fri, 04 Feb 2011 01:16:46 -0700 hourly 1 http://wordpress.org/?v=3.1 By: Skippy http://www.socalbubble.com/2007/02/value-range-pricing-and-priced-to-sit.html/comment-page-1#comment-64130 Skippy Fri, 25 Jul 2008 16:54:33 +0000 http://www.socalbubble.com/2007/02/value-range-pricing-and-priced-to-sit.html#comment-64130 That 876 number, there's another company that does that to indicate internally the status of the selling item - Wal-Mart. They give items different sale prices to indicate how long the item has been on the shelves, how it's buying trend is going, etc. It's kinda funny that it's possible to compare Prudential with Wal-Mart. That 876 number, there’s another company that does that to indicate internally the status of the selling item – Wal-Mart.

They give items different sale prices to indicate how long the item has been on the shelves, how it’s buying trend is going, etc.

It’s kinda funny that it’s possible to compare Prudential with Wal-Mart.

]]> By: General Market Observations | The OC Coastal Real Estate Blog http://www.socalbubble.com/2007/02/value-range-pricing-and-priced-to-sit.html/comment-page-1#comment-36582 General Market Observations | The OC Coastal Real Estate Blog Thu, 24 Jan 2008 17:57:45 +0000 http://www.socalbubble.com/2007/02/value-range-pricing-and-priced-to-sit.html#comment-36582 [...] had been given to agents we talked to were lowball offers (all were more than 10% below the silly range pricing that some agents have chosen to inflict on their listings) For as much as we’ve seen the local [...] [...] had been given to agents we talked to were lowball offers (all were more than 10% below the silly range pricing that some agents have chosen to inflict on their listings) For as much as we’ve seen the local [...]

]]> By: Southern California Real Estate Bubble Crash Blog » Blog Archive » General Market Observations http://www.socalbubble.com/2007/02/value-range-pricing-and-priced-to-sit.html/comment-page-1#comment-36392 Southern California Real Estate Bubble Crash Blog » Blog Archive » General Market Observations Wed, 23 Jan 2008 05:32:38 +0000 http://www.socalbubble.com/2007/02/value-range-pricing-and-priced-to-sit.html#comment-36392 [...] had been given to agents we talked to were lowball offers (all were more than 10% below the silly range pricing that some agents have chosen to inflict on their [...] [...] had been given to agents we talked to were lowball offers (all were more than 10% below the silly range pricing that some agents have chosen to inflict on their [...]

]]> By: Nozferatu http://www.socalbubble.com/2007/02/value-range-pricing-and-priced-to-sit.html/comment-page-1#comment-8577 Nozferatu Tue, 03 Jul 2007 20:33:36 +0000 http://www.socalbubble.com/2007/02/value-range-pricing-and-priced-to-sit.html#comment-8577 Ultimately this scam is to attract more people so that the POS they are trying to sell gets into a bidding war. Ultimately this scam is to attract more people so that the POS they are trying to sell gets into a bidding war.

]]> By: SoCalDreamin http://www.socalbubble.com/2007/02/value-range-pricing-and-priced-to-sit.html/comment-page-1#comment-1420 SoCalDreamin Fri, 02 Mar 2007 02:17:54 +0000 http://www.socalbubble.com/2007/02/value-range-pricing-and-priced-to-sit.html#comment-1420 Value range has got to be the dumbest thing I have ever seen. I had been reading all the blogs about the SoCal bubble the last couple days and have noticed many of them. Who in their right mind would waste their time with such a fuzzy selling point? I see agents/seller who do this and want to tell them "Sh!t or get off the pot!" I see people do this all the time with things. "Testing the waters"... Hell, listings cost the seller nothing but time and carrying costs. This market is so screwed up, I am endlessely fascinated about it and at the same time figuring out how to profit from it. At least the weather is nicer than Chicago! Value range has got to be the dumbest thing I have ever seen. I had been reading all the blogs about the SoCal bubble the last couple days and have noticed many of them. Who in their right mind would waste their time with such a fuzzy selling point? I see agents/seller who do this and want to tell them “Sh!t or get off the pot!”

I see people do this all the time with things. “Testing the waters”… Hell, listings cost the seller nothing but time and carrying costs. This market is so screwed up, I am endlessely fascinated about it and at the same time figuring out how to profit from it. At least the weather is nicer than Chicago!

]]> By: SDChad http://www.socalbubble.com/2007/02/value-range-pricing-and-priced-to-sit.html/comment-page-1#comment-1283 SDChad Tue, 20 Feb 2007 22:41:02 +0000 http://www.socalbubble.com/2007/02/value-range-pricing-and-priced-to-sit.html#comment-1283 BTW, with reference to 'value-ranging', I don't know of anywhere else in the country that this used. When I recently moved to CA last year, I had never seen it before. With reference to the crazy numbers, I asked a realtor about that and in the case of a price ending in '876', only Prudential uses that. It's almost a moniker for which realtor is listing the property. Kind of neat I think. BTW, with reference to ‘value-ranging’, I don’t know of anywhere else in the country that this used. When I recently moved to CA last year, I had never seen it before.

With reference to the crazy numbers, I asked a realtor about that and in the case of a price ending in ’876′, only Prudential uses that. It’s almost a moniker for which realtor is listing the property. Kind of neat I think.

]]> By: michaelcampion http://www.socalbubble.com/2007/02/value-range-pricing-and-priced-to-sit.html/comment-page-1#comment-1267 michaelcampion Mon, 19 Feb 2007 14:15:00 +0000 http://www.socalbubble.com/2007/02/value-range-pricing-and-priced-to-sit.html#comment-1267 <B>touche ! </B><BR/><BR/><I>and thus Chuck Ponzi was born.... </I> touche !

and thus Chuck Ponzi was born….

]]> By: IrvineRenter http://www.socalbubble.com/2007/02/value-range-pricing-and-priced-to-sit.html/comment-page-1#comment-1268 IrvineRenter Sat, 17 Feb 2007 20:09:00 +0000 http://www.socalbubble.com/2007/02/value-range-pricing-and-priced-to-sit.html#comment-1268 I kind of like Chuck Ponzi. Chuck has an abrupt finality to its pronunciation kind of like the bubble popping, and Ponzi has that long, dragged out pronunciation kind of like the upcoming bubble deflation. Together they seem to flow. Plus the esoteric historical reference is cool. I kind of like Chuck Ponzi. Chuck has an abrupt finality to its pronunciation kind of like the bubble popping, and Ponzi has that long, dragged out pronunciation kind of like the upcoming bubble deflation. Together they seem to flow. Plus the esoteric historical reference is cool.

]]> By: speedingpullet http://www.socalbubble.com/2007/02/value-range-pricing-and-priced-to-sit.html/comment-page-1#comment-1269 speedingpullet Sat, 17 Feb 2007 15:42:00 +0000 http://www.socalbubble.com/2007/02/value-range-pricing-and-priced-to-sit.html#comment-1269 Personally, every time I see the phrase "Seller will entertain...(blah, blah, blah).." I move on to the next property. <BR/><BR/>Its like they're doing you a huge favor by allowing you to the opportunity to drool over thier unique house. And don't even dream of offering a penny less than thier (insanely overpriced at both ends) 'value range'. <BR/>To which I think 'good luck with that'.....<BR/><BR/>OK, I'm feeling particularly bitter and twisted this morning - but I live in Los Angeles - have pity on me. <BR/>Its getting incredibly dull waiting for someone to drop thier prices enough to be realistic. Personally, every time I see the phrase “Seller will entertain…(blah, blah, blah)..” I move on to the next property.

Its like they’re doing you a huge favor by allowing you to the opportunity to drool over thier unique house. And don’t even dream of offering a penny less than thier (insanely overpriced at both ends) ‘value range’.
To which I think ‘good luck with that’…..

OK, I’m feeling particularly bitter and twisted this morning – but I live in Los Angeles – have pity on me.
Its getting incredibly dull waiting for someone to drop thier prices enough to be realistic.

]]> By: Formerly John Doe (TBD) http://www.socalbubble.com/2007/02/value-range-pricing-and-priced-to-sit.html/comment-page-1#comment-1270 Formerly John Doe (TBD) Sat, 17 Feb 2007 04:28:00 +0000 http://www.socalbubble.com/2007/02/value-range-pricing-and-priced-to-sit.html#comment-1270 OC Appraiser,<BR/><BR/>That's funny if that's the desire, because that's exactly the opposite of what it is accomplishing.<BR/><BR/>Sometimes I wonder how some of these agents are still in business. It's perhaps only by luck, or because all you had to do was be able to breathe to be good in real estate for the past 5 years. OC Appraiser,

That’s funny if that’s the desire, because that’s exactly the opposite of what it is accomplishing.

Sometimes I wonder how some of these agents are still in business. It’s perhaps only by luck, or because all you had to do was be able to breathe to be good in real estate for the past 5 years.

]]> By: OC Appraiser http://www.socalbubble.com/2007/02/value-range-pricing-and-priced-to-sit.html/comment-page-1#comment-1271 OC Appraiser Sat, 17 Feb 2007 00:23:00 +0000 http://www.socalbubble.com/2007/02/value-range-pricing-and-priced-to-sit.html#comment-1271 It has always been my understanding, talking with agents about this very thing, that they "value range" the price to attract buyers on the lower end. Say you got a place you want to sell for 850k. You list at 850k and no luck. You want to expose your house to a larger market, so you "value range" it, with a lower number so that other agents who are "shopping" for their clients, who only want to see houses under 825k, will at least check the place out. They do it so that they can attract more agents who are looking for properties for their clients. It has always been my understanding, talking with agents about this very thing, that they “value range” the price to attract buyers on the lower end. Say you got a place you want to sell for 850k. You list at 850k and no luck. You want to expose your house to a larger market, so you “value range” it, with a lower number so that other agents who are “shopping” for their clients, who only want to see houses under 825k, will at least check the place out. They do it so that they can attract more agents who are looking for properties for their clients.

]]> By: Formerly John Doe (TBD) http://www.socalbubble.com/2007/02/value-range-pricing-and-priced-to-sit.html/comment-page-1#comment-1272 Formerly John Doe (TBD) Sat, 17 Feb 2007 00:09:00 +0000 http://www.socalbubble.com/2007/02/value-range-pricing-and-priced-to-sit.html#comment-1272 Irvine Renter,<BR/><BR/>That's exactly right.<BR/><BR/>Most buyers won't even bother with a value range... which makes me wonder why a seller would do it?<BR/><BR/>Man, someone is now calling themselves currently john doe?<BR/><BR/>OK, time to really change it.<BR/><BR/>Anyone not like Charlie Ponzi?<BR/><BR/>What about Iznop Selrahc?<BR/>What about Chuck Ponzi? Irvine Renter,

That’s exactly right.

Most buyers won’t even bother with a value range… which makes me wonder why a seller would do it?

Man, someone is now calling themselves currently john doe?

OK, time to really change it.

Anyone not like Charlie Ponzi?

What about Iznop Selrahc?
What about Chuck Ponzi?

]]> By: IrvineRenter http://www.socalbubble.com/2007/02/value-range-pricing-and-priced-to-sit.html/comment-page-1#comment-1273 IrvineRenter Fri, 16 Feb 2007 23:28:00 +0000 http://www.socalbubble.com/2007/02/value-range-pricing-and-priced-to-sit.html#comment-1273 In any negotiation, there is a bid and an ask and a transaction somewhere between. The idea that sellers can determine both the bid and the ask at the outset is absurd. If buyers truly believed the sellers range, they will simply not make an offer. I suspect this isn't what a seller would want.<BR/><BR/>Personally, I have never bid on a property with range pricing. If I were to do so, I would consider the lower end of the range to be the true asking price and simply ignore the top. My bid would obviously be below the range. What are they going to do, be insulted? F#ck 'em.<BR/><BR/>In a balanced market, sellers are always selling for less than they want, and buyers are paying more than they want. That is just the nature of things. For a seller to establish a range that meets their expectations almost guarantees they will not make a sale. In any negotiation, there is a bid and an ask and a transaction somewhere between. The idea that sellers can determine both the bid and the ask at the outset is absurd. If buyers truly believed the sellers range, they will simply not make an offer. I suspect this isn’t what a seller would want.

Personally, I have never bid on a property with range pricing. If I were to do so, I would consider the lower end of the range to be the true asking price and simply ignore the top. My bid would obviously be below the range. What are they going to do, be insulted? F#ck ‘em.

In a balanced market, sellers are always selling for less than they want, and buyers are paying more than they want. That is just the nature of things. For a seller to establish a range that meets their expectations almost guarantees they will not make a sale.

]]> By: currently john doe http://www.socalbubble.com/2007/02/value-range-pricing-and-priced-to-sit.html/comment-page-1#comment-1274 currently john doe Fri, 16 Feb 2007 22:33:00 +0000 http://www.socalbubble.com/2007/02/value-range-pricing-and-priced-to-sit.html#comment-1274 I will buy your $400 to 420k house for $200 to 80k, just to make you happy. I will buy your $400 to 420k house for $200 to 80k, just to make you happy.

]]> By: marinite http://www.socalbubble.com/2007/02/value-range-pricing-and-priced-to-sit.html/comment-page-1#comment-1275 marinite Fri, 16 Feb 2007 21:05:00 +0000 http://www.socalbubble.com/2007/02/value-range-pricing-and-priced-to-sit.html#comment-1275 Sorry. Thanks. Sorry. Thanks.

]]> By: Formerly John Doe (TBD) http://www.socalbubble.com/2007/02/value-range-pricing-and-priced-to-sit.html/comment-page-1#comment-1276 Formerly John Doe (TBD) Fri, 16 Feb 2007 20:44:00 +0000 http://www.socalbubble.com/2007/02/value-range-pricing-and-priced-to-sit.html#comment-1276 Marinite.<BR/><BR/>It's in the post: Go to the news story and look at related links.<BR/><BR/>Here's a <A HREF="http://www.news10.net/news/xls/California_foreclosures.xls" REL="nofollow">link</A>.<BR/><BR/>There's some good data there and already in excel format. Marinite.

It’s in the post: Go to the news story and look at related links.

Here’s a link.

There’s some good data there and already in excel format.

]]> By: marinite http://www.socalbubble.com/2007/02/value-range-pricing-and-priced-to-sit.html/comment-page-1#comment-1277 marinite Fri, 16 Feb 2007 20:12:00 +0000 http://www.socalbubble.com/2007/02/value-range-pricing-and-priced-to-sit.html#comment-1277 Hey. Where did you get the data for this graph:<BR/><BR/>http://tinyurl.com/2ybedv<BR/><BR/>I want to make a graph like that for Marin but I need the data and I don't want to pay for an account at foreclosure.com. Hey. Where did you get the data for this graph:

http://tinyurl.com/2ybedv

I want to make a graph like that for Marin but I need the data and I don’t want to pay for an account at foreclosure.com.

]]> By: michaelcampion http://www.socalbubble.com/2007/02/value-range-pricing-and-priced-to-sit.html/comment-page-1#comment-1278 michaelcampion Fri, 16 Feb 2007 15:41:00 +0000 http://www.socalbubble.com/2007/02/value-range-pricing-and-priced-to-sit.html#comment-1278 It has always blown my mind that people dont think this is nuts. Great write up. I remember i had this teacher in school and she was ripping on people being wishy washy, she said she showed up to a yard sale and there was a vase she liked. She asked the seller what she wanted for it. "Between $5-$8" She whips out a five only to hear the woman say: "Well I was thinking more like $7" the obvious retort: "Well you said five to eight, which number did you think i was going to choose!"<BR/><BR/>What an idiotic idea. <BR/><BR/>My favorite is when the spread aproaches $200K-$300K. Laughable... It has always blown my mind that people dont think this is nuts. Great write up. I remember i had this teacher in school and she was ripping on people being wishy washy, she said she showed up to a yard sale and there was a vase she liked. She asked the seller what she wanted for it. “Between $5-$8″ She whips out a five only to hear the woman say: “Well I was thinking more like $7″ the obvious retort: “Well you said five to eight, which number did you think i was going to choose!”

What an idiotic idea.

My favorite is when the spread aproaches $200K-$300K. Laughable…

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