The single most important step in marketing your home is pricing it fairly. It may be tempting to start with a high price to test the market, especially if a realtor who wants your business encourages you to. Don’t do it.
Research shows that overpriced homes stay on the market longer and sell for less than homes priced at or near market value. Buyers will either not view the home or not make an offer. The more price reductions and time on the market, the weaker the seller’s position at the bargaining table.
The list price should be based on a comparative market analysis. A good CMA will compare your home to similar properties in the area, including those recently sold, those currently up for sale, and those taken off the market because they didn’t sell. It should also factor in local market conditions. Are home prices rising or falling? Is it a buyer’s or a seller’s market?
The CMA is an opinion and best approached as a range. But if you’re satisfied that the explanation of your home’s value is based on hard facts and sound thinking, it’s in your interest to act on it.
Posted in: FAQ for Sellers