Now that you understand the market and your competition, what price should you put on your home? A common pitfall that most home sellers stumble into is to price high in order to test the market. The only thing that will be tested is your patience as your home sits on the market week after week...
So why is overpricing so dangerous?
Strike while the iron is hot: A home is most appealing during its first 2 weeks on the market and has the highest probability of selling at market value during that time.
Excluding otherwise qualified buyers: By pricing high, you may be excluding buyers. How? Many buyers set price limits on their home searches to eliminate homes they can't afford. If your home is priced above this threshold, it will not even be seen eve though they could potentially like and afford your home. Buyers don't always know that price can be negotiable in real estate . Even if they do, they may hesitate to approach you with a fair offer if they believe that the divide between their price and yours is too large.
Tainted goods: After a few weeks of silence, you may consider reducing the price of your home. Unfortunately, it might be too late! home buyers may start to wonder if there is something wrong with your home and lose interest. Pricing your home reasonably the first time is critical to attracting the right buyer at the right time.
Having an accurate comparative market analysis on your property is a very important step in pricing it right. You can receive a CMA for your home at any time, free of charge and obligation by contacting me. I’d be happy to provide you with one even if you are not ready to put your home on the market. What do you have to lose?