• Th e “leave room for negotiation” approach. In this approach, the market value is “stretched,” say t o $805,000. Th e price will not entice a buyer but might make comparable homes more desirable. Th e home will most likely not sell quickly or at that price. • Th e “price it according to worth” approac h. Th is approach sees the price set right between the market value benchmarks, at $795,000. Likely, home shoppers will lump the home with like- priced homes, knowing they can buy any time for $795,000. • Th e “underpricing generates interest” approach. Underpricing at $780,000 will motivate buyers and perhaps create a bidding war. But the goal of selling the home for more money is derailed. THE COMPARATIVE MARKET ANALYSIS When it comes t o fin ding a buyer, pricing your home based o ff comparable real-priced sales is crucial to making the sale . Th e 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 get explanations. 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 a well-priced home, you should be showing within th e fir st few days on the market. O ff ers should come within weeks. PERCEIVED VALUE If the perceived value of your home by potential buyers is greater than the actual price, the more willing they are to buy . Th e urgency to buy disappears the closer the price and perceived value are . Th is means, you have to customize the marketing of the home to match the buyer’s spe cifi c needs and desires. A real estate agent can help you t o fin d out the buyer’s hot buttons, so that marketing and presentation can be tailored accordingly to the buyer’s current interests and needs.
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