Price Your Home for Profit
How you price your home can make a huge difference in profit. The asking price you set for your home has an effect on whether you will profit from the sale, how long your home could sit on the market before selling and how much you will potentially walk away with after selling. Having access to a real estate agent with the knowledge about the overall local housing market and what’s selling versus not selling is an invaluable tool that will help you determine a price. You want to find a price where your home will still sell under current market conditions without leaving any money on the table.
There are three important things to keep in mind when discussing a list price with your Realtor®:
Time is rarely on your side in real estate. Many factors go into account on the final outcome in a real estate transaction, but time is a huge determinant on whether you’ll see a profit at the end of closing. The longer your home sits on the market, the less desirable it may appear and the less likely it will sell for the original asking price. If your goal is to make money, choose a price point that encourages buyer activity. By choosing what’s considered “fair market value” at the time, more buyers will see your home and you set yourself up to sell sooner.
- Value vs. Cost
Selling a home is an emotional transaction as much as it is a financial one. Pricing your home requires objectivity that may be hard to obtain without going to an unbiased third party. It’s important that you not confuse value with cost. How much you think your home is worth is affected by years of memories made within its walls, but what a buyer is willing to pay could be something drastically different. While there are certain home improvements that will almost always raise the value of your home, it’s dependent on buyer habits. Don’t base your price strictly on these upgrades because not everyone wants hardwood floors or stainless steel appliances.
- Keep It Simple
Timing is very important in real estate. When you list can make a difference between your home selling in a week or whether it sits on the market for months. Timing is most important when it comes to showing your home. Make it easy for buyers to see your great product by remaining flexible on when real estate agents can show your home to their clients. The more people who see the inside of your home, the higher the chance you walk away with your asking price.
Price your home for a profit by using the knowledge of a great Realtor®, who knows your local market backwards and forwards. A great real estate agent should know what’s selling in your neighborhood, what buyers are looking for and what the market can bear now and in the near future. our team is known for pushing the boundaries on fair market pricing, selling homes for the highest prices some neighborhoods have seen in years. We know market trends, current buyer desires and what makes a home truly valuable, so that we succeed in pushing the envelope, helping our clients net more money while still selling their home quickly.