Pricing Your
Property
Selling a home creates a
relationship between seller and buyer - and the glue
that binds them is the asking price. It's essential,
therefore, to make sure the asking price is
acceptable to both parties.
Pricing a home requires a bit of footwork. First
you'll need to compare your home to similar
properties in the market - this will give you an
idea of a reasonable asking price. Your agent will
provide you with a comparative market analysis (CMA)
report, an in-depth study of your home's value, and
will track current market movements as they relate
to the sale of your home. After wading through this
seemingly daunting amount of information, you'll be
able to establish a range of value and will feel
more confident formulating an educated opinion.
But, of course, the buyer making the offer holds the
most important opinion. To get a better
understanding of what he or she might want, try
putting yourself in his or her shoes and ask
yourself some simple questions.
- What, for example, are the other properties
for sale in the area?
- How do those values compare with those of
your home?
- How long have those properties been on the
market?
- What properties sold recently, and what did
they sell for?
- Also, what properties did not sell - and
why?
Real estate agents will advise their clients to
sell their home as quickly as possible. The longer a
house sits on the market, the less money it will
yield. This means that there's less of a risk in
pricing your home below competition than pricing it
too high. A home priced below competition will
generate multiple offers that will drive up the
price to market value, but an overpriced home will
sit on the market indefinitely.
Pricing your home smartly is as important as
choosing the right agent. So make sure to take your
time and weigh all your options before making
decisions - it could earn you thousands of dollars
more than you expected. |
