Pricing Your Home Competitively Is Key To Quick Sale
By Rick Thurtle:
The Mesa County real estate market is one of the hottest in the country as we head into the Spring of 2007. A lack of available homes to buy is a complaint I here from real estate professionals frequently. While it is a seller's market right now in the Grand Valley, some homes still sit on the market for several months or even years before they are sold. Many factors could cause a home not to sell in a timely fashion.
The one that comes up again and again is blamed on an inflated listing price. If a home is overpriced, buyers will stay away, but, if the price is competitive with similar homes in the area and shows better than the competition, it will have a better chance of being sold quickly.
Comparative shopping to determine a price that is right for a quick sale is one of the biggest decisions sellers face. Although comparing houses with different styles, square-footage and locations is challenging, real estate professionals still feel it's one of the best methods to use when determining a home's fair market value.
An effective broker associate can effectively evaluate a home's worth by putting together a Comparative Market Analysis or C.M.A.. Taking a look at the amenities of a home, such as a swimming pool, how much square footage, views and location are just some of the factors considered. The next step for a broker associate is taking that information and comparing your home with similar properties, called comparables, that have sold in your area within the last six months. Typically, the agent is able to recommend a realistic price range that will ensure you top dollar and a reasonably quick transaction.
Prospectivie sellers should check with real estate offices in the community to determine the average amount of time that listings are on the market. By comparing properties similiar to yours the agent should be able to give you the information you need to price your home effectively. However, if you're under time constraints because of unexpected job changes or moving agreements you've made on another property, this will narrow your chances of selling the home for top dollar in the market.
Assuming you have sufficient time to market the home, here are a few small steps you and your agent can take to finding the right price for your property.
The best comparisons can be made with similar homes that have been sold within the last 45 days as opposed to the standard six months. Any longer and other factors, such as the economy, could cloud your view of how much your home is really worth. Another good benchmark is to review the selling prices of homes that have just been sold and are pending closes. Most listing services provide information on deals pending that most real estate agents should be able to share with you.
An overpriced home that sits on the market is also piling up holding costs to live and maintain the home. This can be a major problem if you have already moved into a new home and your previous home is vacant and not being rented.
Being open and honest about what you see as the home's greatest strengths and biggest weaknesses will also help an agent get a better feel for how to best evaluate and market your home. Think of your home as if you were the buyer. If your home is listed at the right price, you're well on your way to a speedy and many times money saving sale.