Most people selling a home have some very different ideas of their home’s value, some believe they should price it at the very TOP of the price range, others want a quick sale and others have no idea. How does a home seller price their home to command top dollar?
Pricing Tip # 1: Don’t Rely on those Online Computer Generated “Zestimates”.
- Those computers have never seen your home
- Those computers do not know what makes your home unique and special
- Things like:
- A Lovely Yard
- Home Improvements
- Things like:
Pricing Tip #2: Don’t rely on the price your neighbor got.
- When it comes to home value:
- Square footage is a key part of the valuation
- But it also includes:
- Condition, Views, Improvements, & Location
- A Real opinion of value is what a buyer is willing to pay
- Most buyers getting a loan need an Appraiser to substantiate the price to the lender
Determining Your Home’s Value depends on many things:
- Similar sales in the area – apples to apples
- The current number of available homes for buyers to choose from
- The current competition of homes for buyers to choose from
- Market conditions
- This takes an expert who actively sells in the area
- Much of this information is NOT available
Pricing Tip #3: Pricing it Right is a Form of Marketing.
- Marketing conditions are a huge factor
- If you price too high in a Sellers Market – Buyers will be afraid to make an offer
- If you price too low, in a Sellers Market – Buyers will assume something is wrong with the home or you could get
- Lower than desired offers
Most Buyers Search for Homes Below their Maximum Price. Many websites are set up to search in $50K increments. If you price too high for “negotiating room” buyers will be reluctant to make any offer at all. Pricing Realistically vs Optimistically will Command the Most when You Sell.
Even in this RED-HOT SELLERS MARKET preparing a home to get top dollar will pay off exponentially in most cases.
If you would like to find out what your home will sell for in this market, what to and what not to do to get ready to sell, and how much you will put in your pocket when it sells, call us at 719-301-3900.
What are some other things a home seller can do to price their homes for top dollar?
Pricing Tip # 4: Do not expect a bidding war but be grateful and careful if it happens.
- Multiple offers are becoming more common.
- Many buyers are bidding over asking price
- Financed Buyers Need an Appraisal
- Some buyers offer “appraisal guarantees”
Pricing Tip # 4: Continued
- Some make ridiculously high offers –
- ………… just to get a contract!
- A careful analysis of all offers needs to be made to decide on the best buyer for you.
Pricing Tip #5: DO NOT WAIT to make a price adjustment if it’s not working.
- Offer and showing basics:
- More than 10 buyers and no offer – price is too high
- Less than 10 buyers in 2 weeks – price is too high
Pricing Tip #6: Do not let a Real Estate Agent Over Price your home.
- MOST ARE DESPERATE FOR LISTINGS AND WILL PROMISE YOU….
- CRAZY HIGH PRICE
- THEN WHEN THE MARKET DOES NOT RESPOND
- …BEG YOU TO REDUCE IT
Desperate agents suggest UNREALISTIC PRICE to Get Listings, Then Wait Too Long to suggest a price adjustment. Result? Per National Statistics will NET YOU LESS MONEY.
Many agents promise the MOON! Follow by – PRICE REDUCTION. Price Reductions are NOT IDEAL!
- PRICE REALISTICALLY VS OPTIMISTICALLY
- RESULT = TOP DOLLAR!
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