Pricing your home correctly is one of the most challenging aspects of the home selling process. It is one of the main factors that can make or break a sale. Overpricing can cause potential buyers to lose interest in your property and result in your listing going stale. In order to successfully sell your home, the price tag you attach to it should be within a reasonable range and based on market conditions.
Here are the top tips to keep in mind when pricing your home:
- Understand the housing market
Knowing the housing market you’re in can make a huge difference in your pricing strategy. Are you in a buyer’s market or a seller’s market? These and other economic conditions can affect the demand for homes and how you should price yours.
When researching local market trends, check out your local news and community websites and social media sites as well as the latest market reports from your local association of Realtors.
- Look at comparable sales
One of the most effective ways to price your home is to look at comparable sales, or “comps.” Comparable sales are recently sold homes in your neighborhood that are similar to yours. Using this information as your basis, you’ll be able to determine a competitive price for your home and justify your asking price.
- Look for withdrawn or expired listings
Looking at withdrawn or expired listings can also give you an idea about what went wrong with the sale. It can prevent you from making the same mistakes when you list your home. Search for any patterns in the withdrawn or expired listings and see if they share any similarities.
- Take advantage of online home valuation tools
Another way to get an idea of how much your home is worth is to check out online home valuation tools. On websites such as Zillow, Trulia, and Realtor.com, you can enter your home address and get an estimate of your home’s value. Just remember that these are just that – estimates – and are in no way equal to a proper appraisal.
- Check out the competition
Another way to price your home right is to look at the homes for sale in your neighborhood. Since these homes are your competition, it would be quite helpful to check them out, find out what state they’re in, and see how much they are being sold for.
- Work with a real estate agent
No one knows your chosen real estate market better than an experienced local real estate agent. When you work with a real estate agent, you utilize their expertise, market knowledge, and professional network. Your agent will have an intimate knowledge of the trends that shape your local housing market and provide you with the kind of relevant, valuable insight that you won’t get from an app or website.
With my extensive knowledge and years of experience in Northern Colorado real estate, I am the Realtor to call when you need help in pricing your home. Contact me today at 970-889-0307. You can also send me an email at matt(at)welcometonoco(dotted)com.