Who determines the price of a house?

[Adam Macias]

Who determines the price of a house?

It's always the buyers.

Always. Always.

It's not the Realtor.

It's not the Seller.

It's not the Appraiser.

It's not Zillow.

It's not the News.

Only the buyer.

Doesn't matter if it's 70% of it's ARV.

Or if it's $100k over asking.

So having the right buyers is the

most vital piece of a successful RE career.

[Ken M.]

Quote from @Adam Macias:

Who determines the price of a house?

It's always the buyers.

Always. Always.

It's not the Realtor.

It's not the Seller.

It's not the Appraiser.

It's not Zillow.

It's not the News.

Only the buyer.

Doesn't matter if it's 70% of it's ARV.

Or if it's $100k over asking.

So having the right buyers is the

most vital piece of a successful RE career.

.
Well, half right. If that is changed to "Cash Buyers". Few and far between in this market. A seller is not required to sell though, which means if he disagrees on the offer, the house can sit for an indeterminate amount of time at an indeterminate value. 

Buyers can't get financing if the appraiser doesn't give the value necessary to support the financing, no matter what the asking price or offer price is. 
Sellers can't sell for less than what is owed to the bank, if the bank won't do a short sale and reduce the amount owed to what new financing will allow.
A lender will pull back the loan if a defect in the property makes the property uninhabitable.

There are a lot of reasons a sale will fail. 

"A house is worth what a willing seller will sell for, to a willing buyer who has the ability (money) to close." Isosceles circa 1306