While most home-sellers aim to predict the perfect asking price, at most times, they would be uncertain and would end up selling their properties at a discounted price while they could have gotten more out of the deal. Deciding to sell your household is a huge process that has to do more with the mental aspect than it would with the physical. Whether you choose to work with an experienced agent or list your own property, it is challenging to know the exact price for a household.
If you are choosing to sell your property on your own, you will definitely need to do a lot of research online to recognize what the value of the home is estimated to be, so you can have a good idea from there. You shouldn’t hesitate to contact a professional real estate agent that can understand a better perspective of what the best pricing is for the area around your neighborhood. You can also consider hiring an appraiser, affordable and worth knowing their experience by giving you a fair value for your home that can be acceptable on the real estate market. To get a better idea about the real estate market and pricings of properties, you can always try to research your neighborhood and figure out the right listing price by comparing it with past properties that were sold around the area.
If you are choosing to work with a professional real estate agent, then it would be easier having to go through the whole procedure as well as they will make it easier for you to find the right price as well as negotiating the price that you ask upon because they will look forward to having your best interest. When you choose to work with a real estate agent, they can provide you with a comparative market analysis (CMA), which is a large accumulated sum of recent sales that have occurred from around your neighborhood.
Ideally, most people would ask for above the reasonable price, just in case they would like to make a better profit or looking for future expenses to cover, but it wouldn’t be the best choice to make. By asking for above the price lets you lose more potential buyers than actually gaining them, because you aren’t the only one that has made the necessary research as well. However, if the market price is on the rise, you can by then consider asking for a slightly higher price, but if the market price is going down, you will have to lower your standards just to be able to get your property off the market. You can hire a home inspector to recognize certain issues and problems that may cause your property value to decrease and to be able to repair it as soon as possible and put your property in a better position to be purchased.
As a homeowner, you should put yourself in the shoes of a homebuyer due to the fact of not having to see your household with all the emotional attachment that comes with it and actually seeing the property for the size and the space that it offers and not the people and memories that you have had. Try to look around and see what other property is selling around the same price and ask yourself, are these properties worth more or less than yours?
A common tactic of getting more from the negotiation aspect, would be to throw an asking price that can be negotiated to the actual price that you really wanted but hoping for the best wouldn’t hurt your chances for trying. It is best to try such a tactic when you have a property that is in a popular location and that can be negotiated without having the fear of losing potential buyers in the near future. Just remember that there is a difference between how much you can list your household and what is the value of your property. With that in mind, most sellers would list their properties for a low asking price and in hopes that they would drive the sales price with the many attractive offers that can come around. Once you are evaluating deals, you can focus on all the aspects of each offer regarding all the factors and not just the price offered. When choosing to price your property, there are key factors that you must put into consideration such as:
- TIME OF THE YEAR
In most countries, it can make a huge difference when you choose to sell your home and when you should reconsider listing it on the real estate market. For all cases, the spring and summer season are the best times to sell a home as the weather is improving and families want to make changes during summer break vacation to be able to pack and unpack their personal belongings. Winter is considered the slowest season in the real estate industry, not only because of the harsh cold weather but rather people are usually busy during the season over all the holiday traditions.
- THE ECONOMY PLAYS A LARGE ROLE
Consider your property being one of 100 for sale in your neighborhood, you will have a difficult time selling the property as well as getting the price that you wanted from the start. If the real estate market is rolling, you can have better chances of having your household being one of the only properties being sold in the market, you might be getting your asking price without negotiations or even higher than you would imagine in certain cases.
- CONSIDER THE MARKETS FOR BOTH THE BUYERS AND SELLERS
In the market for the buyers, you will need to price your property slightly lower than most of the competition because there would be a larger amount of households for sale than there are buyers in the market. When you consider the market for the sellers, you can eventually add a small percentage to the comparable sale if the market is limited and the home buyers are competing for less properties.
- LOOK AT THE UNSOLD PROPERTIES AS MUCH AS THE SOLD
If there is a property that you priced that is similar to your price range and it has been taken off the market without being sold, there’s only two reasons behind that and that would be that the homeowner might have reconsidered which doesn’t happen often and the other reason is that the owner decided to overprice the property having it stay on the market for too long losing property value. Recognize that there are many similar households on the market that their prices can be lower but they would be worth noticing or visiting and realizing why they are priced the way they are so you can get a better idea for your own property once it is listed for sale. In a seller’s market, properties will look like they are overpriced while in the buyer’s market, properties will look like they are underpriced due to the fact that there can be different curves within the economy and market.
- EXPECTED APPRECIATION VALUE OF YOUR PROPERTY
Realize that the future holds either profit or loss considering where you choose to reside and the impact on the price with the time appreciated. If there are large developments being planned in the future such as shopping malls and grocery stores, it can actually increase your appreciation with time. On the other hand, if you already purchased a property and expected that the appreciation would increase with time, that’s something that can be out of your control. Choosing to purchase a household that is still being developed, you can play a risky game because you wouldn’t know if the area would be popular and in high demand or would it affect the outcome of the value if the development isn’t going to be occupied in the future.
While all people looking to purchase a home have one thing specifically in common and that is they want to make the best deal possible for themselves and loved ones along with them. No matter the state of the housing market, they don’t want to feel like they got hustled and that they made the wrong decisions regarding their real estate matters. You should just inform potential buyers and prove to them that your asking price is reasonable compared to other listings and prices around the area. It is understood that it is important how properties are priced, be confident and confirmed as well as well-informed when presenting and showing your household being able to provide the best asking price to finalize the sale of your property.