Humber/Ontario Real Estate Course 3 Exam Practice

Disable ads (and more) with a membership for a one time $2.99 payment

Prepare for the Humber/Ontario Real Estate Course 3 Exam. Study with challenging questions and detailed explanations to enhance your understanding. Get ready to excel in your exam!

Each practice test/flash card set has 50 randomly selected questions from a bank of over 500. You'll get a new set of questions each time!

Practice this question and more.

What is the impact on the sale process if the seller insists on a high listing price in a buyer's market?

The property will likely sell quickly despite the high listing price.
The property may sit on the market longer than expected.
The seller may receive multiple offers immediately.
The property will undoubtedly attract more buyer interest.
The seller will need to reduce the price significantly after a few days.
The property value will increase due to speculation.

The correct answer is: The property may sit on the market longer than expected.

In a buyer's market, there is typically an oversupply of properties available for sale, leading to increased competition among sellers and lower prices. When a seller insists on a high listing price, this can cause the property to be out of alignment with current market values and buyer expectations. As a result, the property may not attract as much interest from potential buyers, leading to longer days on the market. This longer duration can also create a perception of the property being less desirable, further exacerbating the situation. Buyers may be hesitant to make offers on a property they perceive as overpriced, which can lead to the seller having to reevaluate their pricing strategy after a period of stagnant interest or lack of offers. Therefore, insisting on a high listing price in a buyer's market often results in the property sitting on the market longer than the seller may have anticipated.