Friday, October 25, 2019 / by Jo Skipper
You and your family have decided that it is time to list your house for sale and move on. While this is not an easy decision to come to the next question you have to ask is how do we price our home? This is something that you can work on with your trusted real estate professional and it's also a good idea to do some research about the current market. Most sellers will have a value in mind and it is extremely important to arrive at this valuation by removing all of the emotion from the sale of your home. You have made some great memories in this home and now it is time to get down to business.
A common seller mistake is to overprice the home with the thought of decreasing the price in the future if it doesn't sell. More often than not this is a costly mistake where your home will sell for much less than you had hoped. In this situation, the sale will often take much longer as well. By listing your home above market value buyers and other real estate professionals will be able to see that this home is priced more expensive than it should be. This will likely leave the home sitting on the market for far longer than 30 days. Once the home has been sitting there for a period of time buyers will start to avoid this home thinking that there is something wrong with it. This problem can snowball and then the seller is forced to perform multiple price reductions while the home is just sitting there not selling.
if you are comfortable doing so, work alongside your real estate professional to list your home just at or slightly below the current market value. Look at all the comparables to your home that are currently on the market, have accepted an offer, and all those that have sold in recent months. you can derive the average number of days that homes have been listed on the market and get an idea for how long yours will take to sell at that price. The idea behind pricing it at or below market value is what will attract many more buyers and hopefully draw multiple offers for your home at the same time. Multiple offers to purchase means more competition for your home. More competition can equal more money. This can help drive the price of your home upwards which is every seller's dream.
When it comes to the time to sell your home know your numbers! it is best to know what homes are selling for that are comparable to yours to see if your desired value is reasonable. Often times sellers want to list above market value and this can end up costing large amounts of money and long amounts of time with increasing frustration for all.