Pricing your home correctly is the key to a sale

Am I Priced to Sell?

Attracting buyers is the name of the game,  As a seller, you have two goals:

  1. To get the most money possible
  2. To sell as quickly as you can.

Be realistic. Price is the number one factor that most home buyers use in determining which homes to view. Although the price is set by you, the seller, the value of the home is determined by the buyer. Don't allow your enthusiasm to warp your judgment and lead to overpricing - a mistake you can't afford to make. Here are some factors to consider - recommended by experienced residential specialists - to help you sell your home. This information is not all-inclusive and does not replace the expertise provided by a Certified Residential Specialist (CRS).

 

What Affects Your Asking Price?

  • Urgency. How quickly must you sell?
  • Competition. Are there just a few or many homes available in your price category and area?
  • Available Financing. Does your home come with an assumable loan that is below today's rate? What are the current home loan interest rates? What financing alternatives are available for your home and area?
  • Competitive Market Analysis. Do you know what similar homes in the area sold for within the last six months?
  • Expenses. What are your selling costs?

     

What Doesn't Affect Your Asking Price?

  • Original Cost. Your price is determined by today's market.
  • Investment in Improvements. Potential buyers will evaluate your home (i.e. wallpaper and carpet) and may include the costs to remove or replace in their offer.
  • The Cost to Build Your Home Today. A replacement value is determined for insurance purposes only.
  • Personal Attachment. Prudent buyers purchase based on their emotions, not yours.
  • Neighbor's Claims. Don't listen to what your neighbors tell you what is the fair market value for your home. Other homes in your neighborhood may not be as similar as you think. Also the terms accepted by both the buyer and seller greatly affect the sale price.

     

What Happens to an Overpriced House?

  • You'll Help Sell the Competition. The "correctly priced" homes look even better if yours is overpriced. Most buyers are competitive shoppers.
  • Your Home Will Stay on the Market a Long Time. Did you know that 80% of your potential buyers will see your house in the first four to six weeks? If you don't sell them then, it takes approximately three months to replace them with an equal number of newcomers.
  • You'll Lose Market Interest and Qualified Buyers. Serious buyers use the value, quality and price of similar properties as deciding factors.
  • A Negative Impression is Created. People will wonder why your house is still on the market - they'll believe something is wrong with your home.
  • You (The Seller) Would Lose Money. You may have to make extra mortgage payments as well as incur taxes, insurance and unplanned maintenance costs.
  • You (The Seller) May Have to Accept Less Money. Studies show that the longer a house is on the market, the greater the discount off the list price. Often a seller will accept less than fair market value in order to sell because of an approaching deadline.
  • There is the Potential for Appraisal Problems. The appraiser from your buyer's lending institution must agree that the home is worth the asking price. If the appraiser believes the price is inflated, the loan may not be approved.

     

Look To a CRS When You Need Answers Fast...

As you can see, there are a multitude of factors that determine the asking price of your home. Finding this price yourself can be a long and difficult task. That is why thousands of satisfied homeowners, like yourself, turn to a residential specialist. A residential specialist has the tools necessary to compute the fair market value of your house quickly and accurately while allowing for personal considerations (such as the date by which you must sell). Your residential specialist can also confidently answer your questions about listing, pricing and showing.

A residential specialist's goals are the same as yours:

  1. To get you the most money possible;
  2. To sell your home as quickly as you can;
  3. To make selling your home a pleasant and profitable experience for you.

When You Want to Price Your Home to SELL FAST... List With Us!

 
 

Am I Priced to Sell?

Attracting buyers is the name of the game, As a seller, you have two goals:

-To get the most money possible
-To sell as quickly as you can.

Be realistic. Price is the number one factor that most home buyers use in determining which homes to view.

Although the price is set by you, the seller, the value of the home is determined by the buyer. Don't allow your enthusiasm to warp your judgment and lead to overpricing - a mistake you can't afford to make. Here are some factors to consider - recommended by experienced residential specialists - to help you sell your home. This information is not all-inclusive and does not replace the expertise provided by an experienced Real Estate Agent or a Certified Residential Appraiser.

What Affects Your Asking Price?

  • Urgency. How quickly must you sell?
  • Competition. Are there just a few or many homes available in your price category and area?
  • Available Financing. Does your home come with an assumable loan that is below today's rate?
  • What are the current home loan interest rates? What financing alternatives are available for your home and area?
  • Competitive Market Analysis. Do you know what similar homes in the area sold for within the last six months?
  • Expenses. What are your selling costs?

What Doesn't Affect Your Asking Price?

Original Cost. Your price is determined by today's market.

Investment in Improvements. Potential buyers will evaluate your home (i.e. wallpaper and carpet) and may include the costs to remove or replace in their offer.

The Cost to Build Your Home Today. A replacement value is determined for insurance purposes only.

Personal Attachment. Prudent buyers purchase based on their emotions, not yours.
Neighbor's Claims.

Don't listen to what your neighbors tell you what is the fair market value for your home. Other homes in your neighborhood may not be as similar as you think. Also the terms accepted by both the buyer and seller greatly affect the sale price.

What Happens to an Overpriced House?

You'll Help Sell the Competition. The "correctly priced" homes look even better if yours is overpriced. Most buyers are competitive shoppers.

Your Home Will Stay on the Market a Long Time. Did you know that 80% of your potential buyers will see your house in the first four to six weeks? If you don't sell them then, it takes approximately three months to replace them with an equal number of newcomers.

You'll Lose Market Interest and Qualified Buyers. Serious buyers use the value, quality and price of similar properties as deciding factors.

A Negative Impression is Created. People will wonder why your house is still on the market - they'll believe something is wrong with your home.

You (The Seller) Would Lose Money. You may have to make extra mortgage payments as well as incur taxes, insurance and unplanned maintenance costs.
You (The Seller) May Have to Accept Less Money. Studies show that the longer a house is on the market, the greater the discount off the list price. Often a seller will accept less than fair market value in order to sell because of an approaching deadline.
There is the Potential for Appraisal Problems. The appraiser from your buyer's lending institution must agree that the home is worth the asking price. If the appraiser believes the price is inflated, the loan may not be approved.

Look To a CRS When You Need Answers Fast...
As you can see, there are a multitude of factors that determine the asking price of your home. Finding this price yourself can be a long and difficult task. That is why thousands of satisfied homeowners, like yourself, turn to a residential specialist. A residential specialist has the tools necessary to compute the fair market value of your house quickly and accurately while allowing for personal considerations (such as the date by which you must sell). Your residential specialist can also confidently answer your questions about listing, pricing and showing.
A residential specialist's goals are the same as yours:
To get you the most money possible;
To sell your home as quickly as you can;
To make selling your home a pleasant and profitable experience for you.
When You Want to Price Your Home to SELL FAST... List With Us!
Copyright© 2017 RE/MAX Alliance Group. All Rights Reserved.

Determining Your Home Market Value

 

Determining Market ValueNow that you have made the decision to sell your home, it is time to determine its asking price. Since the procedure by which it is calculated can be somewhat complex, you will want to seek the guidance of a trained professional – your REALTOR®. Should you price your home too low, you could potentially cheat yourself out of thousands of dollars. Conversely, if you price your home too high, potential buyers will bypass it in favour of something more reasonably priced. Leaving your home on the market for too long could have the adverse effect of giving it an unfavourable reputation. The object is to choose a price that is neither too high, nor too low. The asking price should be both accurate, given its market value, and fair. Your REALTOR® is familiar with the market and all of its changes. Take advantage of their knowledge and expertise.

 

What is Market Value?

Market value is the highest price that a willing buyer and seller, not under any compulsion or outside pressure, agree upon. Determined by outside influences, such as social and political factors, as well as the economy, market value is the price that your home should sell for in the current market. Your home’s fair market value depends on a number of other factors including, how it was built, its location, the condition it is in, the size of both the house and the property it sits on, as well as the price of other similar homes that have recently sold in your neighborhood. The price you choose will also be determined by the tempo of the market, the public’s confidence in the current economy, and competition within the market. Ultimately, the market will determine the value of your home, not you, making the services of a trained professional who understands it and all of its complexities all the more worthwhile. Don’t hesitate to ask your REALTOR® any questions you may have – their knowledge could save you thousands of dollars please Contact me for more information.

FREE Home Evaluation

FREE  Home Evaluation

When selling your house, one of the key factors to consider is asking price.

There are a Number of Factors that Affect  Asking Price:

  • Urgency
  • Competition
  • Available Financing
  • Competitive Market Analysis
  • Expenses

What Happens to an Overpriced House?

  • You'll Help Sell the Competition
  • Your Home Will Stay on the Market a Long Time
  • You'll Lose Market Interest and Qualified Buyers
  • A Negative Impression is Created
  • You (The Seller) Would Lose Money
  • You (The Seller) May Have to Accept Less Money
  • There is the Potential for Appraisal Problems

We will conduct a thorough comparative market analysis by searching the database of all homes listed or sold in your area. With this current market data, we will be able to determine what your house should sell for if you decided to put it on the market, attracting more buyers’ attention to get you a maximum return.

 

For a FREE, No Obligation Home Evaluation, please fill in the information requested, and a trusted member of our team will be in contact with you.

First Step: Listing Your Home in Boulder