The Lower the Price, The Larger the Pool of Buyers
Scott P. Rogers
As shown on the pyramid above... the higher the price... the smaller the pool of buyers... the lower the price... the larger the pool of buyers.
At the upper end of the market, listings priced in the $700K+ range typically appeal to a smaller subset of buyers, for obvious reasons. The number of potential purchasers who are both financially qualified and ready to act is limited. In many cases, sellers in this price range may only see a handful of showings and offers, even in a healthy market.
Homes listed between $400K and $500K tend to attract a broader group of buyers. These properties might be move-up homes for buyers leaving their starter home, or attractive options for those relocating to the area. There's usually solid interest at this price point -- but not always an overwhelming amount.
The highest level of buyer interest, however, is almost always seen with listings priced under $350K. These homes tend to draw the largest crowd of potential buyers, including first-time homeowners, investors, and those looking to downsize. It's within this price bracket that we most often see multiple-offer scenarios, competitive bidding, and homes going under contract within just a few days.
For example, a recent listing under $350K in the City of Harrisonburg received nine offers within days of hitting the market. That kind of response speaks volumes about the demand at this price point.
Of course, there are always exceptions -- and we still see multiple offers at various price levels. But if you're preparing to sell, it's helpful to understand that a lower asking price typically opens the door to a much larger pool of buyers.
