Over the last year, the housing market’s gone through significant change. While it’s still a sellers’ market, homes that are priced right are selling, and they get the most attention from buyers right now. If you’re thinking of selling your house this spring, it’s important to lean on your expert real estate advisor when it comes to setting a list price. As Realtor.com explains:
“Move-in-ready homes with curb appeal and in desirable areas—and that are priced to sell—are especially likely to move quickly this spring.”
In today’s market, how you price your house will not only make a big difference to your bottom line, but to how quickly your house will sell.
Why Pricing Your House Right Matters
Your asking price sends a message to potential buyers, especially today.
If it’s priced too low, you may leave money on the table or discourage buyers who may see a lower-than-expected price tag and wonder if that means something is wrong with the home.
If it’s priced too high, you run the risk of deterring buyers. When that happens, you may have to lower the price to drive interest when your house sits on the market for a while. But be aware that a price drop can be seen as a red flag by some buyers who will wonder what it means about the home.
To avoid either headache, price it right from the start. A real estate professional knows how to determine the ideal asking price. They balance the value of homes in your neighborhood, current market trends, buyer demand, the condition of your house, and more to find the right price. This helps lead to stronger offers and a greater likelihood your house will sell quickly.
Generating Interest and Competitive Offers:
Proper pricing generates interest and creates a sense of urgency among buyers. When a home is priced competitively, it tends to attract more showings, inquiries, and offers. This increased activity can lead to multiple offers and create a bidding war, which is advantageous for the seller. By pricing your home correctly, you create a perception of value that entices buyers to take action promptly, resulting in a faster sale and potentially a higher final sale price.
Minimizing Time on the Market:
Pricing your home correctly significantly reduces the time it spends on the market. When a property is priced too high, it may languish on the market for an extended period, becoming stale and losing its appeal to buyers. The longer a home sits unsold, the more likely buyers are to question its value or assume there are underlying issues. Conversely, a well-priced home generates immediate interest, leading to quicker showings, offers, and, ultimately, a faster sale.
Facilitating a Smoother Transaction:
Proper pricing sets the stage for a smoother transaction and minimizes potential complications down the line. When a home is priced correctly, the likelihood of appraisal issues or financing challenges decreases. Buyers are more likely to secure financing when the appraised value aligns with the purchase price. Moreover, a well-priced home attracts serious and motivated buyers who are less likely to engage in prolonged negotiation or request excessive repairs or concessions.
Staying Competitive in the Market:
Real estate markets are dynamic, and pricing your home correctly allows you to stay competitive within the current market conditions. Pricing too high can cause your home to appear unappealing compared to other listings, resulting in missed opportunities. By staying abreast of market trends and pricing your home accordingly, you position yourself to capture the attention of motivated buyers and remain competitive in the marketplace.
The visual below helps summarize the impact your asking price can have:
BOTTOM LINE
Pricing your home correctly from the outset is a critical element for achieving a quick sale and maximizing the value of your property. By attracting potential buyers, generating interest, and creating a sense of urgency, a well-priced home is more likely to receive competitive offers and close the transaction smoothly. Additionally, pricing your home correctly minimizes the time it spends on the market, ensuring that it remains attractive to buyers and positions you favorably within the competitive real estate landscape. Ultimately, proper pricing is a strategic decision that sets the stage for a successful and expedited home-selling experience.