Only hearts (and lots of friends!) can build a home. But inevitably the time comes to move, to sell your home, on your way to find your next residence and turn it into your home.
Real Estate Girlfriend Guru CATHY PERRY knows just how hard selling a home can be. This month, she shares how important it is to price a house correctly–and gives some tips on finding that price.
Now that the weather is warming up, so is the spring real estate market. If you’re thinking about selling your home, it’s critical to get the price right from the get-go. If you start out too high…just to test the waters…the majority of the buyers who would be interested at the right price won’t ever see your home in their internet searches and neither will their agents. Or the agent will see it, but won’t show it to the buyers because they aren’t preapproved for that much. And then once the home sits on the market for a while, even when the price comes down, the buyers are still going to try to get a deal, because now, the seller must be desperate to sell, right?
Here are some things to think about when working with your agent to set the price. First, the real market value of your home is what a willing buyer will pay for it, not what you need or want to get for it. Think about this – if you go into a retail store to buy a sofa that you know should sell for $1,500 because you have seen it in three other stores at that price, and the owner of the store tells you he wants $2,000 because he needs the extra money to pay the rent that month, are you going to pay the extra $500 because he needs it, or are you going to go back to one of the other stores and get it for $1,500? Yep, the real estate market works much the same way.
Be realistic about what your home has to offer. Your home is important to you, both emotionally and financially, so it’s pretty normal to think that your house is better than, or worth more, than the one that just sold around the corner. But is it really? One way to find out is to go to Sunday open houses in your neighborhood – check out the competition. Or ask your agent to spend a couple of hours with you touring the homes that she thinks are the closest comps to yours, and see how your home stacks up. Your agent should sit down with you and carefully go through a written CMA – Comparative Market Analysis – showing homes that are currently for sale, under contract, and sold in the last six months. A detailed comparison of the prices, home amenities, and time spent on the market will help you determine a pricing strategy that will work.
Don’t forget to think about the location of your home, which is something that you just can’t change. Do you have an extra-large lot or a pristine view that will help you command a premium price? Or do you need to deduct money because your home sits on a main street that brings traffic or noise concerns? Your agent can help walk you through the pros and cons of your home’s location, and the pros and cons of your neighborhood, school district, or city.
A little homework up front to set the price correctly can prevent the headache and heartache of multiple price drops and keeping the home ever ready for showings!
CATHY PERRY, our real estate guru, knows that buying or selling a home involves a lot more than looking at homes on the internet or putting a “for sale” sign in the yard. With a background as a wealth management executive and an interior design entrepreneur, Cathy brings it all together into a concierge model of real estate services designed to give her clients the highest level of service and expertise. You can find Cathy at her blog or her website.
Any real estate girlfriend advice YOU can share? DO!
Thanks Girlfriend Guru Cathy Perry for your other guest blogs:
- A Love Affair with my Home
- One Listing I was Glad to Lose
- Helping Mom and Dad Sell the Family Home
- Home for Sale for the Holidays
- Should you have your Best Friend Sell your Home
By the way, we LOVE guest blogs here at Girlfriendology. Have a great girlfriend story to tell? Want to celebrate your fabulous female friends? SHARE! (And, we also have Girlfriend Gurus – check that out to be featured on Girlfriendology!)
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