I donít think itís about ego. Itís more about people being cheap, uninformed, bad negotiators or not effective reading people. There are far to many sellers afflicted with the same set of issues. When they meet, nobody walks away happy.
Two people came to look at mine about a year ago and I was pretty surprised at the level of knowledge. One guy had a collection of 70 classics and his own flatbed where he drove around collecting classics. Another was able to tell a number of key things about mine that a casual person wouldn't know. Both were very well informed. The price offered by one was nearly 2X the price of the other.
Another that didn't see anything but pics, was pissed off when he lost a bid on a full blown, numbers matching all original CA car. He lost the bid because he was doing the same beat down with him that he tried with me. He even came back to him with a full cash offer, and still lost out. He was pissed.
He lost out because of his ego, he had to save a few grand. This guy was fully retired and yet for some reason, couldn't live with paying $30K for the fully original 66 SS from SoCal. He finally came back and offered the $30K and it was too late, someone else already nabbed it.
He said it was so tired of always losing out. He caused his own problems.
I had something else up for sale and got TONS of people interested. The prices again were over 2X difference. From $200 to $500. How can the same item be worth $200 and $500?
Even when I said sold for $500, a guy was doing the last min pitch of "I've got $200 cash right now"... I said "do you realize that I've got $500 cash if a few hours?" ... he still didn't budge and said "just in case he doesn't show up".
This is the ego at work. Not many people would pay > 20K for a car and not have a clue what they're buying.
Many years ago, I bought what was then a dream car for me. It was a 280ZX and I was young. Most everyone loved it. One friend asked how much I paid for it and then he had to say "you paid too much". His concern was all about did you get over on someone. I tricked him later when I bought something else and he once again asked what I paid, I made up a price some 1/3 retail just to throw him off, he really didn't know what to say. He always pretended to be the big player making all the big deals. It never panned out well for him.
There's people out there that just can't live with the fact that they think they paid too much.