Many factors influence whether, how quickly, and at what price a specific home will sell. Some of these factors include: the specific location, including safety, curb appeal, convenience, and even the actual, specific block and position of the home (mid-block, corner, etc.); local school system; competition; safety; characteristics and conditions of the house; upgrades and updates; and of course prices. With that in mind, this article will attempt to examine, consider, review, and briefly discuss 6 considerations for pricing a home to sell. For most people, their goals and priorities emphasize receiving the best price possible, in the shortest amount of time, with a minimum of hassle.
1. Competitive Market Analysis (CMA): Many have heard of the need to pay attention to the competition and the benefits of using and relying on a professionally designed and prepared Competitive Market Analysis (CMA). This document assesses recent sales (usually within 6 months, but in fast growing or falling markets even shorter), the price range in your category/region/location/price range, and should be a guide, for the best list price. Prospective sellers should realize that listed and asking prices are significantly different, and prices that are too high and/or too low may not be in the best interest of a homeowner! The key is to discuss, with a quality real estate professional, the best and most appropriate strategy for you, and to articulate the logic behind listing pricing.
two. How to use: Some agents try buy a list, by suggesting a higher price than other agents, and many owners seem to believe that by doing so, they will get the highest selling price. However, where a property ranks depends on many factors, including the local market, whether it is a buyers’ or sellers’ market, price range, supply and demand, the national economy and consumer confidence, local nuances, etc.
3. Where to position: Select an agent, who articulates your rationale and reasoning, and concentrates on positioning the specific house, in the best position for it! This requires a willingness to focus on reality and to accept and understand the strengths and weaknesses of a property, compared to the (especially local) competition.
Four. Client needs/objectives: Each client has specific needs and goals. What is more relevant, the price, the speed of sale, the terms, etc.?
5. Know the local market: Real estate is often local! One market area and certain regions may be stronger and have more competition than another. You are best prepared and served when you select the right agent, with a true understanding of the nuances and realities of your specific local market.
6. opportunity cost of money: When looking to sell your home, it’s important to understand and recognize the opportunity cost of money. This means that when an owner receives an offer, and it is a little below what they are looking for, and depends on the market, it might make sense to proceed in a timely manner, because the longer you wait, the longer it will continue. pay for home maintenance, and if your sales price goes up, over time, chances are any home you buy in the area will go up in price as well.
When you choose to sell your home, do so in the best way possible to meet your needs and priorities. Using these 6 considerations should help the process.