When you are trying to get offers on your home for sale, there are several factors to consider. First, you must figure out at what price to list it at. Getting it right is the first step towards having a successful closing. There are many things can affect the price of the home. The time of year, buyer or seller’s market, curb appeal, recent sales in the area and how motivated a buyer is.
Time on Market
If a property is on the market for a long time, this can be a negative factor for home shoppers. They often wonder why it would be sitting so long, why has nobody bought it, why did sales fall through? Have they gone through multiple realtors and multiple pending offers? Buyers can automatically think a there is something wrong with the home if it has just been on the market too long. Many sellers make the mistake of pricing their home to high, which can lead to long times on the market. You may think this is giving you some room to negotiate, but it is actually eliminating you from certain buyers searches.
By pricing your home to sell, you will show up in more search criteria for potential buyers. For example, if you are hoping to get $310k for your home and you list it at amount, but you would actually be happy with $300k, you would be eliminating all potential searches of your home by buyers whose budget is $300k. It is better to show up in as many searches as possible, get potential buyers looking and viewing the home and then you have something to work with.
Just because a home is listed for a certain price does not mean it is what the home actually has to sell for. The listing price is just the first step in the negotiation. If there is a ton of interest in the home, buyers can actually get into a bidding war, with your home ultimately selling for higher than list price. Better to have options in your home sales.
The Price is Right
Work with your agent to get a comparative sales analysis for your home. The agent will run comps to see what has recently sold in your area and how they compare to your home. Many factors come into play as far as the conditions of the home, upgrades, renovations, square-footage, lot size, curb appeal, etc.
Factor to Price
The condition of the home compared to the recent sales in the area gives you the best starting point for listing your home and beginning to get offers to consider. Have there been any recent improvements to your home? Many small investments can add value to your home and ultimately your final sale price. Screening in a porch or adding a fence can give you a significant return on investment. Installing smart thermostats or smart security features can really make a buyer feel like your home is special.