Here's some information from a class I just taught for our office on how to price homes to sell faster than the market average.  With market conditions changing daily, it's critical to keep sellers informed and give them realistic expectations.
 
Research has shown that most sellers will net less by continously dropping the price over several months versus pricing the home ahead of the market curver. By anticipating where the market is trending they are able to beat their competition to the buyer's price point.
 
1.  Pre-Qualify       A clear understanding of motivation and reason for selling
  • How soon would you like to have your home sold?
  • What would you do if your home did not sell during your time-frame?
  • Are you willing to price your home competitively to get is sold?
2.  Prepare            Know your numbers!
  • Monthly Market Indicators    www.MplsRealtor.com (lower right corner)
  • Review what has been selling in the last 30-60 days.            
3.  Preview Property          Go out and see your competition.
  • Articulate a better understanding about the marketplace.
  • “You really did your homework!”
  • Competition field trip with the seller.  
4.  Property CMA  Put more weight on the Sold homes versus Active competition.
  • Absorption rate = Number of sales in last 30 days divided by current inventory in the same target area
  • Newspaper articles, RealtyTimes.com, InmanNews.com,  RealtorPublicPolicy.org
 
5.   5. Present your CMA        Make it visual!   Educate and inform.
  • In a tough market a discount agent can cost you thousand – not save you thousands
  • $ Price          % Broker Fee              # Results 
6.  6.  Pricing Competitively   Get it right from the start makes everything easier
  • It is the homeowner’s decision – their house, their asking price
  • Give the selyou enough information to make an informed decision on getting it SOLD
 
7.  7.  Proceeds – The Net Sheet
  • The Good – The Bad – The Ugly
  • The most important number is not the commission, it is the seller's proceeds
  • Keep it real and honest.
 
8.  8.  Promotion        How will you get the word out to the marketplace?
  • What are the seller’s expectations and can you meet them?
  • MLS photos, remarks, accuracy of information
  • Sometimes less is more. (Bedroom photos only show a big bed)
 
9.  9.  Price Adjustment
  • Get a commitment upfront as to when and how much.
  • Communicate regularly – HomeFeedback.com, weekly calls, brochures
  • What has sold since you’ve listed and has your competition already adjusted

10. Professionalism

  • Attitude is everything. Irrational Exuberance vs. Positive Realism
  • If we can’t be your first choice – we’d like to be your second choice should your home not sell.