5 Important Things to Consider When Setting Your Home’s Asking Price
Did you know that in the United States, the average home will sit on the market for approximately 56 days? When they say time is money, there is no more powerful statement than when it comes to real estate. The longer your home sits on the market, the more money you potentially waste.
If your home isn’t moving, what could be the problem? Consider the asking price. If your home’s listing price is not in alignment with market averages or the finishes do not match the high price tag, this could turn off potential buyers.
Avoid these real estate mistakes that can cost you big. Read on to learn the top five tips you need to know when putting your home on the market.
1. Conduct a Comparative Market Analysis
Whether you work with a realtor or list your home yourself, a comparative market analysis is a fundamental tool. An analysis can help you gauge the average prices and compare your property to nearby properties.
This is the easiest way to see what “ballpark” your pricing is. For example, have you undervalued your 4-bedroom home based on neighborhood averages? An analysis helps reveal this information.
2. Know the Market Trends
Do you know the real estate market trends overall? But, more specifically, do you know the buying trends in your area? For example, does your neighborhood tend to attract families?
What kinds of finishes and properties are these buyers looking for? Read up on the emerging real estate market trends to prepare yourself.
3. Keep Negotiation in Mind
When listing your home, don’t make the fatal and naive mistake of expecting the full asking price. While this can happen, your listing price needs to account for negotiation.
Buyers want value and sellers want the best price. Setting a listing price that allows both parties to meet in the middle is most realistic.
4. Will You Upgrade?
If budget and time allow, sometimes sellers upgrade their home before placing it on the market. But you may wish to sell your house as-is. This can benefit your overall budget and be less stressful in terms of renovation or time spent.
Decide how much work you want to put into the property. This will help drive your listing price and set honest expectations for your buyers.
5. Check Your Emotions
Selling your home can be emotional. But don’t let emotional memories cloud your judgment and influence the listing price.
Remember that buyers see a potential home and investment. They are not as attached to the property as you may be.
Therefore, take a holistic approach to the listing price. Study the market and set a fair price.
The Right Asking Price Can Move Your Property Quickly and Effortlessly
Don’t make the mistake of listing the wrong asking price. You will waste time and patience as your home sits on the market for an extended period of time. These tips can help to check your expectations and inspire you to do the research to list your home at a fair price.
Remember that market analysis and knowing the market trends are invaluable. Set your price to allow for negotiation. Consider upgrading your home or leaving the property as-is and don’t let your emotions get in the way of important selling decisions.
If you found these tips helpful, then check out our other real estate stories.