Why are RE Sale Prices Always Whole Numbers

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Clinton, MD · Member since 2014 · 50 posts · 20 votes
12y

To me, the extra digits after the period make it look like a lot bigger price. $132,340.12 looks a lot more expensive than $132,000 at a glance.

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  • Sam Elder
    Real Estate Investor · Flower Mound, TX · Member since 2014 · 59 posts · 31 votes
    12y

    Elaborating on what Jennifer said - It definitely messes up financing - especially for FHA and VA buyers that incur funding fees. If they are paying percentages of percentages, it forces rounding, which can be complicated since they would either be overpaying or underpaying. Things like that never are noticed, but it becomes an issue on new builds when the builder adds on something to the contract price that ends in pennies. So, there's that...

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  • Brandon SturgillBusiness Member
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    Real Estate Broker · Columbus, OH · Member since 2013 · 3k+ posts · 1k+ votes
    12y

    @Sam Elder  Thanks for the perspective

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  • Brian P.
    Wholesaler · Salt Lake City, UT · Member since 2009 · 1k+ posts · 401 votes
    12y

    Your post reminded me of an agent in my MLS that was a big 49er fan so ended all his listings with 49 cents. It was his trademark, you saw that price you knew who had it listed without looking it up.

    Many years later the MLS went to no cents, just dollars so you can guess what he did, Right 49 dollars became the new trademark.

    When we went to the computer I did what another poster mentioned, Because agents put in their searches by round numbers I want to be able to nail the top of one search and the bottom of the other so made it a point not to list at $249,950. In stead always made it $250,000 and got included in more searches. A little thing yes, but as I found out a lot of little things add up to more dollars for me.  

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  • Brandon SturgillBusiness Member
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    Real Estate Broker · Columbus, OH · Member since 2013 · 3k+ posts · 1k+ votes
    12y

    @Brian P.  Interesting story. Thanks for the insight, Brian.

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  • Atchut Neelam
    Real Estate Investor · Minneapolis , MN · Member since 2014 · 169 posts · 33 votes
    12y
    Originally posted by @Brandon Sturgill:
    Originally posted by @Mark Ferguson:

    I will make offers on highest and best deals with weird numbers. $72,421 just incase someone offers $72,400 or something. I think using pennies is silly and the MLS probably will not even let you input pennies.

     Thanks, Mark. I like the offer strategy.

    Hi Brandon 

    I follow similar approach. Offering $ 80250 instead of $80000 

    I follow similar 

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  • Phil C.
    Queens, NY · Member since 2013 · 82 posts · 10 votes
    12y

    if this bothers you that much, maybe need to reevaluate your life.  LOL just saying

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