A homeowner decides to place his home on the market and must decide on an asking price. By rough estimate, the home’s worth falls between $1,250,000 and $1,275,000. There are many homes on the market, so what goes through his mind when finding the “right price?” • “Leave room for negotiations” – if the home is overpriced at $1,280,000, it only makes comparable homes more desirable. The home will most likely not sell. • “Price it according to ‘worth’ ” – Buyers will lump the home with like-priced homes, knowing they can buy anytime for $1,260,000. • “Underpricing generates interest” – Underpricing at $1,235,000 will motivate buyers and perhaps create a bidding war. But if not, the goal of selling the home for more money has been derailed. When it comes to finding a buyer, pricing your home according to data available in comparable, real-priced sales is crucial to making the sale. Using the Comparative Market Analysis is imperative to pricing strategically. When you ask for one from a real estate professional, be sure to review the analysis, ask questions, and thoroughly understand the answers. If completed correctly, this comparison report not only gives you a great listing price but also reduces the chance of your home being under-appraised. If you have appropriately priced your home, you should be showing within the first couple of days on the market. Offers should come in within weeks.
REMEMBER THIS ER THIS
If a potential buyer perceives the value of your home as greater than the actual price, they will be more willing to buy more
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