Accurate pricing of your home is the key to a successful sale
Accurate pricing of your home is the key to a successful sale, smooth transaction, and great experience. That being said, pricing your home is an art, not a science. You will only know if you have priced your home correctly when the current buyers out there looking respond.
The first 21 days of your listing are considered the "honeymoon period". This is the time where the limited number of buyers that are out there, looking for the right home at the right price, would have bought the home if the price was right. After 21 days, the house loses the "new kid on the block" advantage.
Some of the tools I will use to advise you are listed below.These tools help you as a seller decide where to price your home. I will supply you with all the information you need to decide the correct price at which to list your home.
Market Analysis:
This tool is tried, true and essential. It analyzes comparable homes that have been sold, withdrawn, and expired in the past six months.
Inventory levels (or absorption rates):
This is a measure of the current state of supply and demand. It looks at how many homes have been selling over a 24, 12, 6, and 3 month period and compares that to how many listings we currently have on the market. It reveals trends in a way that is easy to understand. Inventory levels also determine if you home is selling in a buyer's or seller's market. The market analysis shows you the range of prices at which you could list your home. Inventory levels help you determine where you should price within that range.
Active competition:
You have to know your competition. Condition, incentives, days on the market, reasons they have not sold, etc.
Price lines:
A graphical demonstration of what has sold, withdrawn, and expired in the past six months. Perfect for demonstrating which sellers priced their homes correctly and sold quickly vs. overpricing and reducing multiple times.