Is My Home Priced Correctly?
- Jenna Raines
- Mar 4, 2016
- 2 min read
As real estate agents, the most frequent question we get asked about is pricing. Other agents want price opinions after you've shown their listing, sellers want price opinions when they're getting ready to sell, buyers want to know if they're paying the right amount for their new home, the list goes on.
Pricing is such a delicate process, but also THE MOST IMPORTANT part of the selling strategy. When you enter the marketplace for the first time, it is your chance to make a splash. It's like a first date; will you be seen as inflated and unrealistic or desperate and overeager? You want to be seen as attractive and intriguing!
As someone thinking about selling your home, it's almost guaranteed that you've gone to Internet sites such as Zillow, and you think that is an accurate indication of what your home should sell for. As a professional, I have seen it go both ways, Zillow being high or low on their estimate. See my previous post on Zillow's pricing here: Zillow Post.
The fact is, to determine accurate selling price, you need to dig into comparable sales. SALES, not active listings. The most compelling case for what your home is worth is what a home that's very similar to yours in the same neighborhood has sold for recently. If it hasn't sold, it isn't a good gauge for what your home is worth, because - it hasn't sold! You don't want to be in the same situation!
Have some trust in your agent that when they determine a price for your home, they are doing so without emotion and with hard facts to back that price up. There will always be some leeway with price, and at the end of the day, the homeowner will be the one to set the price. But understand that an agent that is familiar with the market will know what your competition is and what buyer are looking for.
Your agent wants to get you as much as possible; it's in their best interest also! So, if you want to know if your home is priced correctly, get opinions from agents. Meet with several! Listen to what they're saying and ask them how they got to that number!
Don't fall for an agent who is just telling you what you want to hear, they will be the first once to ask you to drop the price in a few weeks after they list your home, and statistics show that homes with price drops sell for less than homes that were priced correctly to begin with.
You should also ask what types of inexpensive things you can do to spruce your home up for the buyers. You want your potential buyers to feel at home when they walk in.
As always, this is my opinion. If you have any real estate questions or needs, please contact me directly!
Jenna Raines
732-556-8894
jenna.raines@bhhsnj.com
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