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Maybe Not a 000-Sum Game
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He added a caveat: "My sense is that for the average home seller, there's probably more-significant things they can do to sell their houses than this." He said other factors include how the house is presented for sale and marketed and how its value compares with others in the neighborhood.
Creig Northrop, a Long & Foster agent with offices around the region, doesn't buy the Cornell theory. He said precise numbers may work "for Wal-Mart and car dealerships," but he's sticking with round numbers.
Robert White said he took Redfin's pricing advice when he listed his two-bedroom, two-bath townhouse in Fairlington. "I was going to list it at $425,000, but by knocking it down to $424,500," the house ended up in a category that would seem more affordable to more people by falling into the lower Web listing range, the first-time seller said.
White, a Senate staffer who is moving back home to the South with his wife and infant daughter, also followed Redfin's advice to list on a Friday, when the company's Web site gets the most traffic.
White's house went on the market in early January and drew a bid eight days later; he signed a contract two days later. He said he followed Redfin's advice on the $500 price point because "I think every little bit helps in this market."
He said, "I don't think it's what sold the house, but I think it's worth a shot."
Northrop, on the other hand, said the best idea is to price right at the hundred-thousand mark, catching Internet viewers who are looking both at properties within $100,000 less than that price and up to $100,000 above.
The Cornell paper says its results "have important substantive implications for buyers and sellers."
"Buyers (and their agents) should be more cautious in their price magnitude judgments in light of our results. Sellers (and their agents) can strategically 'precise up' their prices, i.e., choose a higher precise price rather than a lower round price."
However, the researchers note, "if some sellers are smart enough to figure this out, it should be a matter of time before others do, too."
The full Cornell report is at http:/
