So you’ve decided to put your house on the market? You must separate yourself from sentimental feelings and price it so that more buyers see it — and notice it. Here’s how.
You’re selling your home. Here’s the big question: Should you set the price high, expecting buyers will bargain you down eventually? Or should you start low to attract a lot of attention and get the inevitable discounting over with upfront?
You might be surprised how important this decision is.
Most experts agree that starting high with the idea that you can always drop it later can be a huge mistake. Pricing doesn’t just determine how much money you stand to make — it also dictates whether buyers will even give your home a serious look.
With so many competing properties for sale, yours has to pop out immediately as a good value or buyers will move on, never to look at it again.
The first few weeks of your homes listing normally will receive 2 to 5 times the amount of traffic that it will receive in later weeks of the listing. So if you lower the price in week 4 of the listing no one will notice. The price change will see a very small audience.
When and if you must drop the price, be decisive. When your home has languished on the market for months, you must engage a fresh group of shoppers. Incremental discount won’t work. Bite the bullet and make your price drop substantial.
When pricing your home and justifying the reasons for stay at a higher price, don’t price in discounts. What this means is, don’t stay at $250,000 knowing that to achieve this target the home has to have new appliances, new carpet, and new paint and you offer $15,000 in new carpet, paint, and appliance allowances. Just price the home at $235,000 or replace and renew the items before you plan to put your home on the market.
Pricing correctly is the most important aspect of any real estate listing. It all comes down to:
1.Price
2.Price
and
3.Price
Talk to a Realtor® and let them help with a Comparative Market Analysis. This is the one tool that is most important in identifying the correct price range of your home. Get it right the first time and sell before you neighbors!
Josh Lee
Realtor
Warner Robins Residential Office
478-953-2244