Consumer Psychology Towards Prices - Pricing your Rental

Odd Number Pricing

From - Ohio State University Fact Sheet

Odd number pricing refers to setting a price just below the psychological breaks in the dollar, such as a price is set at 49 cents or 99 cents rather than 50 cents or $1. Prices may be set at 19 cents or 49 cents or $19.95. This gives the psychological impression to the customer that the price is not 20 cents or 50 cents or $20, but less. Odd number pricing is often avoided in prestige stores or with higher priced items. An expensive dress could be priced at $150, not $149.95.

Prestige Pricing

Prestige pricing refers to high markups and/or pricing above the market. Many consumers are willing to pay more for a product or service because it is felt the product or service is of higher quality or possesses brand or manufacturer prestige. Usually above-market pricing can be done only when the product is unique or distinctive, or when the seller or manufacturer has acquired prestige in the field.

Depending on the product or in our case, the home you are trying to rent. It is best to put $995/Month instead of $1,000/Month. You will tend to get more bites with the first one. You got to love psychology.