WHAT IS PRUDENTIAL VALUE RANGE MARKETING (PVRM)?

Prudential Value Range Marketing (PVRM) is a proven strategy for pricing and marketing that benefits everyone involved in real estate transactions – both buyers and sellers alike.

With PVRM, a property is marketed within a selected price range rather than at a fixed price, exposing the property to more buyers in more price ranges.  This simple change creates an entirely new buying and selling environment – easing many of the obstacles and anxieties of the traditional fixed pricing method.

HOW DOES PRUDENTIAL VALUE RANGE MARKETING WORK?

Traditionally, property owners desiring to sell their property have been limited to a fixed price when advertising their property for sale.  By using the traditional fixed price method you run the risk of overpricing which can slow the process of selling your property and limit the number of buyers exposed to your property.  Traditional pricing also sets an artificial price ceilings

The diagram above shows the traditional fixed price model.  As the pyramid demonstrates, the higher the price the lower the buyer activity.  In some cases where an unrealistically high fixed price is set, viewings and interest can be so low that a property just “sits” on the market.

The diagram below clearly demonstrates the advantage of PVRM.  Properties marketed using PVRM can appear in many more “range of affordability” searches, exposing a seller’s property to more prospective buyers which generates stronger activity, helps initiate offers, and encourages the buyer and seller to begin the process of negotiating the sales price.

HOW DOES PVRM BENEFIT SELLERS?

When selling your property, consider the key benefits:
- Increased marketing exposure for your property
- Eliminates the need for price reductions
- Accelerates the sales process by encouraging more offers
- Optimizes final sales price allowing true market forces to determine maximum price
- Attracts more buyers

Seller’s Most Frequently Asked Questions

Won’t buyers just make offers at the lowest price in the range?
Yes and that’s okay.  Marketing a property for sale in a selected price range indicates to buyers that negotiations may begin at any price within the advertised range.  Most buyers know how much they can afford to spend when looking for a property and typically search for properties within a “range of affordability”.  In addition, most astute buyers are keenly aware of the approximate market value of a property prior to submitting an offer and understand that their initial offer very often is the beginning of the negotiation process.

What if I want a different range than what the PVRM program offers?
Sellers and listing sales professionals are encouraged to choose one of the 80 PVRM ranges for the property.  With 80 ranges to select from, most sellers find one that fits their needs.

HOW DOES PVRM BENEFIT BUYERS?

When buying your property, consider these key benefits:
- Brings buyers and sellers together in the least amount of time
- Introduces a larger selection of properties to view
- Eliminates intimidation by a fixed price tag
- Allows searching within affordable price ranges
- Allows the negotiation process to be more comfortable

Buyer’s Most Frequently Asked Questions

Doesn’t the seller have to accept an offer within the range?
No, the seller is under no more obligation to accept an offer under PVRM than they are in a fixed price listing.  With PVRM, the seller promises to respond to all offers within the range, thus paving the way for further negotiations.

How will I know if I got a good deal on the property?
PVRM does not eliminate the need to do market research.  It is a marketing tool.  You will know if you got a good deal on the property by reviewing the market research your sales professional will provide you. 

FOR FURTHER INFORMATION OF PRUDENTIAL VALUE RANGE MARKETING (PVRM), PLEASE CONTACT YOUR PRUDENTIAL FIRST REALTY SALES PROFESSIONAL.