home for the best possible price.
THE PRICE IS RIGHT
A buyer of real estate is no different from a buyer of a painting or a bag of oranges. Both sellers’ and buyers’ perception of value will always play a prominent role during the sale. Perceived value and market value are not the same. You need to know how to price your home strategically and correctly from the get-go to obtain the best price. As a seller, keep two things in the forefront of your mind as you determine initial listing price. These may seem repetititive, but they are critical. First, sentimentality has no dollar value. Second, there is no direct dollar-for-dollar correlation between upgrade investment and market price. Although you have emotional connections to your home, the buyer does not. Most buyers being shown many properties do not expect yours to be “the one.” You will have to work to get them to that decision. Avoid letting sentiment play a part in pricing the property. Set all emotions aside during the selling process. Buyers look for cues to figure out your motivation to sell. This book is all about helping you to see your home through the eyes of prospective buyers, so that you can understand their motivations, anticipate their actions, and negotiate with the buyer from a position of advantage. You may have made upgrade investments to "live better" in your home. When setting an initial price remember that the value you derived from those investments is unlikely to be recaptured in the market price. A $25,000 kitchen renovation will not bring the market price of a $275,000 home to $300,000; don’t assume you can add that amount to your asking price. Try to avoid being trapped by making your home the nicest, but also priciest, home for your area.
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