I wouldn't necessarily go as far as calling them idiots, but ........ anyway I just think that some people are automatically just bidding below the asking price by a certain percentage instead of doing research - if you look at an earlier thread you will see one guy saying that he is going to bid 75% of the asking price on all houses - an extreme I know.
It is easy to compare similar houses in an estate, but when they are individual or one off housing it is harder to compare and so they go with the percentage of the asking price.
Buyers aren't stupid, you can't just raise the price and then expect people to start their valuation at YOUR price.
I think "priced to sell" does give the message that you expect to make this price so it could be a useful way to set the tone and cut out the messing.
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