This debate has been going on for years but there is only one correct and logical answer.
Real estate sellers often want to take $1 off of the price of their home to make it look better. So, you’ll see homes priced at $499,999 instead of $500,000. Well, which one is better? After all, $500,000 sounds like a lot of money!
To illustrate why prices ending in 999 are incorrect, let’s look at a call I received today. One of my buyers called and asked me to modify her real estate search. She said to make the minimum $850,000 and the maximum $1,300,000. Right this second, there are 47 homes on the MLS selling between $849,000 and $849,999 and she’s going to miss seeing every single one of them! 47 sellers have made a mistake that will cost them buyers!
Even sites like Realtor.com allow for a range of prices to be put in (see the screenshot). Who is going to put in $499,999 as their minimum. You can bet your bottom dollar that people will put in $500,000 even as the minimum.
Who knew $1 could cost you so much!
So there you have it! Don’t miss buyers over $1! When you list your home, keep that number round and you’ll get some extra traffic.