Price Reductions- When & What happens?

My house has been on the market for 14 days priced at $329,900. It's still a new listing so I am not super concerned yet. Nowhere near the average DOM numbers for my area.

I am kinda (but no super keen on it) thinking about the possibility of lowering the price in a month if no bites. I can't go much lower b/c I will already have to put money in to satisfy the loan after I sell assuming the number I have in mind the buyer will neg to.

My realtor wants to do another open house since last one was super rainy this past sunday. I still had 7 people. 4 with realtors came and 3 walk-ins. I think it wasn't bad considering it was crazy rain. I thought less people would show up. Anyhow, she wants to try another open house before we may consider lowering.

She's thinking $5000 lowering. Will that really draw people? I believe most people search in increments of $25K example: $300K, then $325, $350 etc.

I also fear lowering $5000 will lower their offer price even more. Or if I lower it, it will just draw attention to it? Or ???? I know for me that I sell sellers who lower as desperate (or more motivated to sell).

I am not that desperate to sell. I can sell now, next year, or year after...it won't kill me. But I really want to take advantage of these great rates and I am due in Aug and we're squished in this house now. I concerned with lowering b/c pricing is on public records for a long time. And if i sell next spring, I will list the price at $329,900 again.

Re: Price Reductions- When & What happens?

When we were looking, we had a cap of $325k. We didn't look at any listings above that price. I'm sure others think the same way and by dropping it down to $325k, you will attract a lot of new potential buyers who may have that has their cap. JMO.

The house we bought was originally listed at $349k. It didn't show up on our radar until it dropped to a certain amount.

ETA: We didn't pay much less than asking.

Message edited 4/24/2012 12:04:47 PM.