The way I view VRM is a marketing tool specifically designed to keep the Realtor(tm) from having to play the "bad guy" in the eyes of the seller and an attempt to get more people through the door. (Balloons and open house banners just doesn't work any more.)
Using VRM, the Realtor(tm) will be able to say to the seller, "Look I know you want $900,000 for this condo you paid $600,000 for last year, and it is certainly worth every penny <piercing eye contact while slamming fist into palm--while his mind screams, "You're nuts!!">...but the market is soft now, and if we list for $900,000 we won't get many people in the door. If we get no lookers, we'll have to start dropping the price lower and lower until someone finally bites. Hey! <snapping fingers and turning on his heel>...I have a great idea! Let's say we put a range of $975,000 to, ah, say, $650,000. That way when someone is Googling condos for $650,000 your condo pops up and we'll have a fish on the line...we reel him in the door and once he sees the wonderful stainless steel appliances and these lovely granite countertops <sliding his hand gracefully over the GCT> he'll absolutely fall in love with it. Then he'll place a bid for $650,000, you counter with $950,000, then he'll say $800,000 and you say $900,000 and he'll jump for joy and pay $900,000--everyone wins!!"
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