Determine the Right Listing Price
by Allison Hull
November 10, 2022
THE RIGHT LISTING PRICE AFFECTS YOUR BOTTOM LINE
When you’re selling your home, the price you set is a critical factor in the return you’ll receive. That’s why you need a professional evaluation from an experienced REALTOR(R). This person can provide you with an honest assessment of your home, based on several factors including:
- Market conditions
- Condition of your home
- Repairs or improvements
- Time frame
If the price of your home is too high, several things could happen:
- Limits buyers. Potential buyers may not view your home, because it would be out of their price range.
- Limits showings. Other salespeople may be reluctant to show your home if they think it is over-priced.
- Losing the possibility of receiving multiple offers from different buyers. Multiple offers is the ideal selling scenario, and typically results in the highest sale price, most often above the initial list price. Multiple offer situations will rarely happen if the property is perceived as over-priced.
- Used as leverage. Other salespeople may use this home to sell homes that are better priced. If you over-price your home, you will help your neighbor sell their home.
- Extended stay on the market. When a home is on the market too long, it may be perceived as defective. Buyers may wonder, “what’s wrong”, or “why hasn’t this sold?”
- Lower eventual sale price. An overpriced home, still on the market beyond the average selling time, could lead to a lower selling price. To sell it, you will have to reduce the price, sometimes, several times. In the end, you’ll probably get less than if it had been properly priced at the start.
- Wasted time and energy. A bank appraisal is often required to finance a home. If the home appraises below the agreed purchase price the bank will refuse to finance the transaction for the purchaser. This will mean you will either lose the sale or be forced to agree to reduce the price to the appraised value.
REALTORS(R) have known it for years, well-kept homes, properly priced in the beginning, always get you a faster sale for the best price! And that’s why you need a professional to assist you in the selling of your home. If you would like to get a market analysis of your home, with no pressure and No Pushing please contact me.