SELLERS

Interested in selling your home?

Achieving the optimal price is the result of both objective research into comparable properties and a gut feeling about your property and the current market.

THE IMPORTANCE OF PROPER PRICING

THE RIGHT PRICE SHOULD:

The right price should attract buyers, allow you to earn the most money possible, and help you sell as quickly as possible. Price is the number one factor that most homebuyers use to determine which homes they want to view. Although the price is set by you, the value of the home is determined by the buyer. Avoid allowing your enthusiasm to impact your better judgment, as overpricing is a common mistake that can cost you in the end.

THE IMPORTANCE OF PROPER PRICING

Proper pricing leads to a faster sale and less inconvenience, exposure to more buyers, increased Realtors® response, more advertising/sign calls, higher offers, more money to the seller, and avoids being "shopworn." Buyers will compare your home against others currently offered for sale and recently sold in your neighborhood.

COMMON REASONS FOR OVERPRICING

Common reasons for overpricing include over-improvement, need, purchasing in a higher-priced area, original purchase price too high, lack of factual data, bargaining room, unnecessary move, assessed value, emotional attachment, and opinions of family and neighbors

DANGERS OF OVERPRICING

Most activity on your home will occur in the first few weeks. Pricing a home properly and creating immediate urgency in the minds of agents and buyers is critical. Buyers who have seen most available homes in their price range are waiting for the "right house" to come on the market. If a house is priced right, it will sell quickly. Don't start with a high price and assume you can reduce it later. By the time you decide to lower the price, interest may have already waned. Appraisal problems can lead to loan rejections and lost time. Even if your home is nicer than others in the area, it won't be picked for viewing if priced too high. Long exposure periods make buyers and agents hesitant to make offers, fearing something is wrong with the property. Overpricing attracts the wrong buyers, fewer qualified buyers respond, and you might help sell similar homes priced lower. You could lose money due to extra mortgage payments, taxes, insurance, and unplanned maintenance costs.

THE ROLE OF A REAL ESTATE AGENT IN PRICING

A real estate agent's role in pricing includes providing a comparative market analysis (CMA) to compare prices of recently sold homes similar in location, style, and amenities. There is no "exact price" for real estate. The market determines value; together you determine the price based on factors you control, such as marketing time, financing alternatives, condition, and exposure method. Agents keep up with market trends and activity of comparable homes, estimate net proceeds, and help determine offering incentives. An agent has no control over the market, only the marketing plan, so never select an agent based on price.