How to Price Your Home to Sell

Homeowners want to get the best value for their home, and this involves strategic planning. Getting your home sold involves three things: location, condition and price. You can’t control the location, but you do have the ability to control the price by improving the condition. While it may seem easier to take the price you paid and simply add a markup, the resulting price probably won’t reflect the true market value of your home.

The first two weeks that your house is on the market are the most critical because it will be exposed to an audience of ready and active buyers. If your initial price is too high, you will lose these potential buyers. The listing price of your property will make or break you. Simply put, if you price your home right, the buyers will come. But you need to know what your home is worth—not what you think it is worth. Here are some tips to help you in pricing your home to sell:

Work with the market. Instead of focusing on where the market has been, focus on where it is going. Look at comparable house prices in your area to get an idea of where the market is and go from there.

Figure out the fair market value of your home. More than just the value of your home, the fair market value is the price a buyer will pay and the seller will accept. It is much more powerful than what your home is simply worth; it is the right price. The best way to determine the fair market value of your property is to use a comparable market analysis to compare your house to others who have just sold or are still on the market.

Think like the buyer. This is a great selling technique because it allows you to put yourself in the buyer’s position and ask “Would I buy this house?” Be rational and look at your home from an outside point of view.

Realism goes a long way. If you don’t own a mansion but price it and market it as one, you will have a problem getting serious offers. Be honest with yourself about your home’s condition and value.

Leave room for negotiation. As a seller, you want to get your money’s worth. Buyers don’t want to pay more than they should. The price you quote should have some leeway for negotiating. But be careful because if you quote unrealistically high, potential buyers will pass you by.

Act quickly. Adjust your price if you have received feedback that your price is too steep, and do it without hesitating.

If your home is in great condition and part of a marketing strategy but it still lacks offers, it is probably overpriced. Signs that prices are too high may include a lack of second showings, or many showings but no offers.

A little research can mean an easy selling experience while maximizing your money. Even though buyers have a separate and not equal opinion of our house’s worth, you need to know that value of your home outside of the fair market value. To assist you in pricing your home to sell, you can geta free home valuation report from Neighborhood IQ and find out what your home is really worth.