It goes without saying, that properly pricing a home for sale is one of the most difficult but important parts of selling a house. Furthermore, you want to maximize your profits, but you also don’t want to price too high because then you will find yourself with little interest in your house. For sellers who want to sell their property now on their own, this task can seem even more daunting since there is no real estate agent to help. Furthermore, there are a number of factors that you need to take into consideration when setting a price for your home for sale.
Furthermore, a little up-front research and legwork to define the all-important price of your house can help grease the wheels for an easy selling experience, while maximizing your dollars at the end of the day. Read on to find out five factors to consider when pricing a home for sale.
1. Check out withdrawn and expired listings- When it comes to setting a price for a home for sale, make sure you check out withdrawn and expired listings. Besides, examining real estate listings that have been withdrawn from the market or expired can help you learn from other sellers’ mistakes. Furthermore, try to recognize patterns for why these properties didn’t sell, and carefully look at how each of them were priced to see if there are any common factors in this particular area that could have driven buyers away.
2. Put emotions aside- Many homeowners make the mistake of believing that the property they’ve put years of care and attention into is worth more than it actually is. While it can be challenging to make rational decisions about a house that holds many memories for you, you should prepare to set emotions aside when pricing your house and set a fair price for your home.
3. Listings that have settled- Listings that have settled recently are without a doubt one of the best sources of information as they are evidence of what properties have actually sold for rather than what sellers are currently asking. Furthermore, looking at homes that are similar in size, age and block size to yours can give you a good idea of what your home could sell for.
4. Think from the buyer’s point of view- Looking for personal gain while selling your home might be tempting, but that is certainly not the right way to go about doing it. Furthermore, you must always put yourself in the buyer’s shoes. How much will they be willing to pay? can they afford the prices you have asked for? These are the questions you need to ask yourself before setting a price for your house.
5. Estimate the price per square foot- One of the best ways to determine if your house price is appropriate or not is by computing its price per square foot. Furthermore, compare this value to the prices of houses in and around your locality. Moreover, the houses that offer the best price in terms of per square foot value will typically stand out from the rest of the houses on the market.
While these were some of the factors that you need to consider when pricing a home for sale, there are many others, such as market research, active listings in the area among many others.