How Should You Price Your Home?
Will Depend on Who You Ask.
I'm willing to pay...
Based on Recent Sales...
Based on Sale Trends...
What will your home sell for?
Supply and Demand determines what your home will sell for. When there is little inventory of homes available and many buyers, prices go up because buyers compete to purchase the home. We've seen this happen again and again. Buyers when bidding look at recent sales to guide them on what to offer, and how your property compares to what recently sold.
How Can I Get Buyers to Pay More For My Home?
Most important determinant of what you home will sell for is it's location. You can't change the location but you can improve the property. When you meet with us, we'll suggest the improvements that'll give the biggest bang for the buck in today's market. We'll talk about flooring, painting, kitchens, baths, roofs and items that come up in your inspection reports. After we determine what makes sense to do given the current market, time to market, costs and your constraints, we'll put you in touch with tradespeople to get the work done.
Do I Have to Do Improvements?
You don't have to do any improvements! You can definitely sell the home "as is". Sometimes spending money on improvements is not possible or recommended but we'll still sell your home for top dollar in its current condition.
How Do You Price a Home?
The most common method to price a home is similar to what homes like it are currently selling for. Here we'll look at homes that recently sold and make adjustments for size, and condition.
What is Pricing Strategy?
After we've determined what range your home should sell in, we'll need to consider what pricing strategy makes the most sense for your situation. If its a very unique home, and the market takes time to sell a home like that, pricing higher would give buyers a higher price to anchor to. However, the home is located in an area where sales are brisk, than pricing lower will attract more buyers to the property. If most homes have been selling at the list price, then pricing at market may make more sense.
What if there are No Recent Sales of Homes like Mine?
In this situation, the range of expected outcomes will be wider because we'll have to rely on older comparables and comparables from other areas.
Appraisal Value vs. Realtor's Opinion of Value
The Appraiser's value of the property is based on historic data. SSRE REALTORs value property based on current trends.
What's the Biggest Mistake Seller's Make in Pricing
The biggest mistake a seller can make is not listening to the market.
Get an Honest Value of Your Home's Value
Call me if you'd like an honest opinion on how to price your home. Sellers and Buyers should not rely on an Automated Valuation Method (AVM), as a computer does not notice the physical variances or location desirability.
I see too many clients select an agent who'll tell them it'll sell for a price higher than the market trend, simply because the agent has agreed to sell it for the price the client has in mind. This can only end with future price reductions and a longer selling time. Instead, select an agent that presents the data to show what a home like yours is currently selling for and what it can realistically sell for. You'll save money, time and stress by selling your home faster.
At Sunil Sethi Real Estate, our experienced agents have become true experts on the local real estate market. We’re dedicated to doing whatever it takes to help you achieve your property goals. As part of our valuation process, we will ask about your goal in selling or buying, and share with you what recent sales indicate it will sell for. We'll also share what an appraiser would consider when appraising.