How to Price Home For Sale Right?

To price your home for sale is a very important decision to make in planning your home for sale. If you price your house wrong, it could be a costly mistake that you wish it did never happen. The reason for this is that 1) overpricing results in helping your competitors, longer selling time, and even failure to sell. 2) under-pricing, obviously, results in losing money directly from your side.

 Here are some tips that could help you to avoid the costly mistake in selling your house. 
 

1. Know the fair market value of your home:
Do a home appraisal, or realtor’s comparative market analysis (CMA), or online evaluation using tools on web sites.
2. Know your competitors:
Go pick up  flyers from all the homes for sale in your neighborhood or subdivision and get all the detail information to determine who are your competitors and what listing prices they have.
3. Determine the factors that could increase the price of your house:
a. Location: good location always get a better price; a house at CUL-DE-SAC, will be perceived higher value in the same subdivision;
b. Conditions: A house that has been better maintained and shows better will always sell for more than one that has had deferred (neglected) maintenance and needs work.
c. Desirable amenities: Spacious kitchens and master suites, granite countertops, and great rooms are all features that currently sell well.
d. Easy access to show: show by appointment turn most selling agent off. Requiring courtesy call before showing turns away most shows because most agents are busy and don't have time to play phone tags with the listing agent. Vacant house gets most of shows.
4. Determine if in a buyer’s or seller’s market:
If it is in the buyer’s market, you should price your house at the low end of the price range. If it is in the seller’s market, price it over the price of the most recently sold house similar to yours.
5. Check out if you price it right or wrong:
one of the indications for pricing it right is second looks from buyers.  One of indication for pricing wrong is steady showings with lukewarm responses. Remember to ask your agent to get feedback from agents who showed your house will also help you.
6. Adjust price accordingly as soon as you can:

If you find out that you have overpriced your house that hurts you chance to sell, you have to reduce it and make it right.

Pricing a home right is only one of the many important factors for your success of home selling. Staging a home and effective marketing are also very important. for more information about how to stage a home, click here. For information about effective marketing, come back to visit us and I will have another blog on how to effectively markket you home for sale soon.

 

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