“Call For Offers” strategy when bringing a large price tag listing to market
Does anyone have any insight as to why the “Call For Offers” strategy is a good technique for some listings and not for others?
[{"id": "hn0tuk4", "text": "TBD pricing is usually in markets that are going up, since brokers don\u2019t want to update the asking price every two weeks, and space is tight so they want to lease it to those who will overpay and not be a hassle. \n\nNot so much in stagnant markets where you are competing with a lot of people with similar product. I will just use the property with the asking rates with a broker I trust instead of some newbie who overpromised to buy the listing.", "replies": [{"id": "hn0z97m", "text": "Thanks. \n\nWhat about in the scenario when a listing does go out priced, however the is a 3-4 week period to Submit All Offers before one is selected. If no deal comes together, the property is de-listed.\n\nThank you.", "replies": [{"id": "hn17192", "text": "That is some resi shit. Usually means the seller is unrealistic or the listing agent oversold his abilities. Onto the next agent until the market catches up.", "replies": [{"id": "hn1898v", "text": "It's for a major subdivision in the $12M-16M range. Vacant land. Mostly entitlement risks associated with development projects.", "replies": [], "depth": 4}], "depth": 3}], "depth": 2}, {"id": "hn12fkz", "text": "Yep.  In this market you can catch investors at the tail end of their 1031 and they will make some borderline wreck-less offers.", "replies": [], "depth": 2}], "depth": 1}, {"id": "hn2ub7x", "text": "I see your post that this is for a potential residential subdivision. I\u2019m working on an offer for a similar listing. I find it\u2019s either (1) when it\u2019s a hot property and creates a chance for the seller to come back and ask for a second round of better/higher offers or (2) the seller is delusional and the broker wants 10 offers at 75% of ask to justify a price cut. \n\nIf a seller knows the property and it\u2019s value, there\u2019s no reason it shouldn\u2019t until an appropriate offer is received. No need to force something upfront.", "replies": [{"id": "hn4geer", "text": "This makes sense to me. Thanks for your input. Good luck with your listing.", "replies": [], "depth": 2}], "depth": 1}]