The #1 Strategy To Get Your House Sold

In today’s housing market, the most common critical mistake a seller can make is overpricing their house. This can lead to a home sitting on the market for a long time without any offers. And when that happens, the homeowner will have to drop their asking price in an attempt to capture buyer interest.

Just how many sellers are reducing the price of their home? A lot, and the number is climbing. Realtor.com has been tracking this number, and since the beginning of the year, price reductions have increased by 78% - yikes!

If you are planning to sell your home in the next few months, remember this:  The best way to sell your house for top dollar in the least amount of time is to work with a trusted real estate agent to find the right price. A Realtor will help you avoid these common seller misconceptions on pricing:

Having Selective Memory and Not Paying Attention To Current Market Conditions

Understanding current market conditions is key to accurate pricing. You don’t want to set your asking price based on what happened during the pandemic. The market is different today. You should priced for today’s market, not yesterday’s dream.

Did you know that when Realtors are selling their own house, they often ask their colleagues to help them price it. Why? Because even we are susceptible to “emotional pricing” on our own home.

Pricing It Based on What You Want To Make (Not What It’s Worth)

Another non-winning strategy is pricing your home based on what you want to make on the sale, and not on current market value. You may see other homes in your neighborhood selling for top dollar and assume yours can do the same. But you may not be considering differences in size, condition, and features. For example, maybe that other house has a brand new kitchen with top-of-the-line appliances or has a finished basement. To sum it up, Bankrate explains:

“How do you find that sweet spot of pricing for profit but not overpricing? The expertise of your agent can be truly valuable here. A knowledgeable agent will understand fair market value in your area, how much your house is worth and how much you might reasonably expect to get for it in the current market.”

As your Realtor, we will do a comparative market analysis (CMA) to make sure your house is compared with truly similar properties to get an accurate look at how it should be priced.

Pricing High to Leave Room for Negotiation

Another common, yet misguided strategy is to price your house high on purpose, so you have more room to negotiate down during the sale. But this strategy often backfires. A price that seems too high often deters potential buyers from even considering the home. So rather than leaving room for negotiation, what you’ll actually be doing is turning buyers away. The best strategy is to price it correctly and get as many buyers in the door during the first 2 weeks. The better strategy is to set an accurate price that attracts buyers and encourages more competitive offers.

Bottom Line

Overpricing your home can have serious consequences. A knowledgeable Realtor brings an objective perspective, in-depth market knowledge, and a strategic approach to pricing.

Thanks to Keeping Current Matters for content for this blog.