Pricing Your Home
The biggest mistake that a seller can make is to mis-price the home: either too high or too low. By pricing it too low, the home will quickly sell, but you will lose money that is rightfully yours. Price the property too high and it will not sell. The home will continue to cost you money but you may also experience mental and emotional stress that can be much more costly in the long run. There are several reasons why you should price your home correctly from day one of your listing.
Contact eHome Realty to Price Your Home Accurately
Why Pricing is so Important
Time — Chances are that your home will ultimately sell for its fair market value. Pricing your property accurately the first time increases the likelihood of a timely sale with less inconvenience and greater monetary return.
Competition — Buyers educate themselves by viewing many properties and will look at a range of homes priced competitively. They know or learn very quickly (with assistance from their agent) what a fair price is. If your home's value is not competitive with others the buyer has seen, they will choose another. Put yourself in the position of the buyer. They are looking for the greatest value for the least amount of money. While upgrades can help your home sell faster, they will not add much value to your home when it is appraised. Many sellers make the mistake of trying to recoup money they have spent on upgrades by increasing the sales price. Oftentimes, upgrades are custom to one’s personal taste and are not necessarily what the new buyers would have chosen.
Reputation — Overpricing causes homes to remain on the market for too long. Buyers and agents are aware of the long exposure period and often are hesitant to make an offer because they fear something is wrong with the property. Clean, well prepared homes which are on the market for a long time, historically sell for less than their fair market value.
Inconvenience — If overpricing your home keeps it from selling promptly, you may end up owning two homes, or losing out on the one you want to buy.
Statistics have shown that the buyer’s interest is highest when a home is first placed on the market. Pricing a home properly and then creating an immediate urgency in the minds of agents and buyers is critical.
For assistance in determining the value of your property, contact eHome Realty and we will prepare a competitive market analysis for you.
