Pricing Your Home to Sell5/9/2015
Home Seller Mistake No. 1: Pricing Too High
"I can always lower the price later if I don't get any offers."
That statement costs sellers millions of dollars every year. Yes, you can always lower your asking price, but that's not a good strategy. Time and time again, experience shows that sellers who list competitively from the start get a better price than sellers who list high and then go lower and lower.
When you price too high, here's what buyers think:
"Wow, three price cuts in the last four months ...
there must be something wrong with that house."
"With all the price cuts on this house, the sellers must be desperate.
Let's offer them far below what they're asking and see if they bite."
A far smarter approach is to find a knowledgeable agent who understands the local market and then work together on setting the right price. A good agent can help you avoid the overpricing trap.
An experienced agent will help set the right price for your home by considering the following:
- Similar homes, via a Comparative Market Analysis (CMA): Your agent will provide a professional analysis that goes deep into stats about recent sales and current listings similar to your home in size, age, condition and features. Sales within the past six months are especially relevant.
- General market conditions: Is it a seller's market or a buyer's market? It's important to note that what's happening nationally may not reflect local conditions.
Your RE/MAX Realty Affiliates agent can explain the difference and answer any questions you may have.