I have found that most people want a "steal" when shopping on craigslist so I always list my items higher than what I truly want to get. The buyer feels like they got a deal when they pay less than asking price and I get what I wanted for the item. It really is rather ridiculous.
It is ridiculous. When we were in the market for a new couch before we purchased one from a furniture store, we checked on Craigslist to see if we could find anything there. People were asking hundreds of dollars for couches with holes in them, dog hair all over them (it COULD be vacuumed, but the seller neglected to do so before putting up the ad), and couches that looked like they had just been through several wars.. yuck. No good. When I sell on Craigslist, I usually list whatever I'm selling for under what the regular asking price is. I don't want to rip anyone off.
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