If you’re considering selling your home, one of the most important decisions you’ll need to make is how to price your home. Price too high, you may miss out on potential buyers or sit too long on the market. Price too low, you may leave money on the table.
Here are some tips to consider as you work with your agent to price your home for sale.
Ask for a CMA
Ask your REALTOR® to provide a Comparative Market Analysis or CMA. In this analysis, your agent will compare your home with other similar homes that have recently sold. They can also weigh in unique features of your home, housing market trends, and desirability of your neighborhood for a comprehensive home valuation. All these factors are used to determine the best list price for your home.
While online home value calculators can provide initial insight, they should not be used to price your home for sale. These calculators are only as good as the data provided. They cannot weigh unique factors, like special features of your home or neighborhood, nor trends in the housing market.
An agent’s CMA is the best method to determine the list price for your home. Your agent will consider many important factors, from the housing market to home features, to list your home for sale at the price that will bring the best offer from buyers.
Don’t get Personal
Selling your home is an emotional task. As the owner and occupier of the home for years, your value of the home may differ from that of an outsider. If you watched your kids grow up in the home, celebrated birthdays, hosted family gatherings, and painted the walls your favorite colors, you have value in the home that cannot be expressed in dollars.
That value, while priceless to you, has no worth to a prospective buyer. That is why you should never attempt to price your own home.
Agents are not emotionally or personally attached to your home. That means they can see it as a prospective buyer might. While they won’t see the bird-egg blue walls as a memory from 10 years ago, they will see the in-demand crown molding, desirable floor plan, and staging potential.
Let someone who has no attachment to your property take on the task of pricing your home. A more objective viewpoint can lead to a more strategic price and a higher offer.
If you’re not currently working with a REALTOR, connect with a local real estate agent.
Understand the Local Housing Market
The best price for your home depends on demand from buyers. Understanding the current housing market in your area, including trends and seasonality, can help you when listing your home for sale.
Your local REALTOR can provide useful statistics and analysis for your city. They also consider factors like your neighborhood desirability and micro-trends in your local area. They’ll even help you determine the best time to list your home for sale. Talk to your real estate agent about housing market trends that could impact your home sale.
When it comes to pricing your home for sale, a REALTOR provides valuable insight. Your agent provides a comprehensive valuation, detached perspective, and real estate experience that is incredibly valuable for home sellers.