Once you have decided to sell your home, you definitely need to price it for sale. You may be thinking that you can price it based on how much you bought it and add a little bit of markup and that’s it. However, that technique does not give justice to the real reflection of your house’s market value. To help you learn the pricing procedure, read through the rest of this article.
Do not allow any personal feelings rule over when you begin to price the property. Most buyers do not give focus on how much you bought the home and the memories you have for such property. They do not give any concern about the down payment that will be paying for your next house and the cost for improving your house. What they are after is simply the house alone.
You have to obtain some comparative market analysis or the CMA, which is performed by a real estate broker. CMAs will allow you to determine the prices of comparable latest sold properties, on-the-market houses and homes that still not sold in the market. The on-the-market properties are the said to be the “competitions” for your home. Go further on the CMA and interrogate the broker about the reason for each house that was included in the CMA. Expect that price recommendations will vary from time to time.
As soon as you already have the idea about the pricing scheme of other houses, you can try to go to open houses in your community. From there you can make initial evaluation on how those houses compare to your own property based on the location, size, facilities and status. Assuming that list prices were all the same, would you think of buying your house or somebody else’s?
You can also compute the price per square foot. In this way, you can have more reference as to where you will base your pricing. The average price per square foot for houses in your community must not be the only identifier of the price for your property. Just use it as a pricing tool. Bear in mind that several methods can be used to compute the square footage.
Apparently, house prices will really be affected by the market’s conditions. You can not assume that they will all have to be stuck once they declared their selling price. Since the current state of economy is experiencing depression, you will expect that interest rates for home mortgages go down. Hence, several real estate analysts would recommend now is the best time to purchase a house. Cases such as these only show the instability of the market condition. You really have to consider the latest status of the market before you set a price for your property.
Some sellers will exert on putting more effort to be able to dispose the property faster. They will close the escrow quickly to be able to entice home buyers to transfer immediately. You may want to offer seller financing, it will look more appealing to buyers who have limited financial resources. Another option is the lease-option who can cater to first time home buyers that need assistance on paying down payments. To be successful in selling your house at a fair price, you have to be creative and flexible as to what the homebuyers are looking for and their financial capabilities. As a seller, you have to make necessary adjustments and consideration so that your property will not have to sleep in the market for a very long time.Tags: Seller, Tips