WHAT ARE VARIABLE RANGE LISTINGS?

1997 saw the advent in San Diego County of a new marketing plan, which is referred to by its proponents as "Value Range Marketing", and is called "Variable Range Listings" by SANDICOR, Inc. (our county-wide Multiple Listing Service).

Unlike conventional real estate listings which are put on market at an offered price.   VRL (as we call it) puts a property on market with minimum and maximum prices.   The seller then says he will "entertain" offers between the two prices.   The idea is that the minimum price is lower than the seller would probably ask for the property, and the maximum price is more than the seller would probably ask.

For example. a seller who might want $600,000 for his home, could list it in a VRL manner from $575,000 to $625,000.   His hope would be that someone looking up to $600,000 would be exposed to the house, as well as someone who was looking at homes above $600,000.

The claimed advantage of the VRL plan is that more prospective buyers will see a VRL listing because the minimum/maximum price range will be both lower and higher than the price range in which the buyer would conventionally be looking.   The illustration above shows how this might be done.

Does the VRL system have any advantages for a buyer?   Maybe, but a reasonably sopisticated buyer (or his agent) should normally look at properties both above and below his initial price range.

Is the VRL system good or bad?   There are many anecdotal opinions:   Some listing agents love it;   Some selling agents hate it;   And, many buyers are confused by it.   Our office occasionally uses this device, when the circumstances warrant it.

Two things are certain: the services of a qualified Realtor who knows local properties and values is truly necessary in our marketplace - and Fallbrook-Realty.com should be your representative.

 

Business: (760) 728-3725 or 1-800-395-3725     Fax: (760) 728-9172    

Cellphones: Harry Christiansen   (760) 525-8490   or Ruth Gregory   (760-525-9245)  

Address: 1588 South Mission Road, Suite 215, Fallbrook, CA 92028

Email: info@fallbrook-realty.com