Setting the right price for your property is a crucial factor for a successful outcome.
Ironically this can be the make or break element for a well-timed sale. Too high and you run the risk of the home lingering on the market long after similar properties have found their new owners. Too low and you can lose money unnecessarily.
Today’s buyers are savvy, making the most of the resources available to them. Using the Internet, buyers can access property prices anywhere around the US and your neighborhood is no exception. If your home price doesn’t line up with similar properties on offer, you’re unlikely to attract the attention of serious buyers.
Prices based on realistic expectations of what your property can realize in the local market give you an advantage.By using the same resources buyers use, you can access the information you need to make an informed decision. As a guideline, know what prices similar homes are fetching in your neighborhood and avoid your property languishing on the market unsold.
While the Internet helps determine property values to a certain degree, you should still consult with the experts. The Internet is good for getting a general valuation of your house but only professionals can provide a precise assessment. Consider using an appraiser if you are going it alone – the no-agent route. To get an accurate picture of your homes’ value, it can be worth the extra time and expense.
Don’t fall for the misconception that a high price is worth a shot, trusting the buyer will negotiate. The most common mistake is overpricing with the result that good listings are ignored by the right buyers. Even a price identical to local comps may have you settling for less than you had hoped when the buyer negotiates a better deal.
Your tactics should be to sell quickly and sell efficiently for the best price possible. Sounds simple but selling a home fast and receiving the desired price eludes many homeowners, investors and real estate agents.
The goal here is to attract the most buyers and generate competition with a realistic or marginally lower price. This competitive edge encourages buyers to look beyond any minor flaws and move fast to snap up a prize. Done right, this can pave the way to a valuable bidding war.
The recommended strategy is to generate a buzz by underpricing – creating the impression of a tantalizing bargain. This serves to increase buyer motivation which in turn drives bidding wars, culminating in a higher end price. Another result of this strategy is to indirectly increase your property value.
Pricing your home can be the hardest part of a sale. Get the price right and the home sells quickly; get the price wrong and the property can moulder on the market for months.