When it comes to selling your home, one of the crucial decisions you have to make is setting the right listing price.
The listing price is one of the first things that buyers will see when looking at your property online. It will serve as their basis in comparing your home to other Charlotte NC homes they are considering. The success of your home sale will depend largely on the price that you set.
Most sellers tend to make the mistake of overpricing their homes. Perhaps it is due to their emotional attachment to the property, or their intent on recovering their return-on-investment.
Overpriced homes languish on the market and they tend to lose the freshness of the home’s appeal after the first two or three weeks of showings. On the other hand, a lower priced home may sell quickly but the seller will end up with less money than he thinks his home is worth.
So how you can get the highest possible price for your home within a reasonable timeframe?
You have to start by striking a balance between overpriced and lower priced homes while considering yours and the customer’s side. Keep in mind that correctly priced homes sell faster than those that are not.
Here are other factors that you have to look into when determining your home’s listing price.
The home’s market value
When setting the price for your home, you shouldn’t let your emotions get in the way. Otherwise, you’ll end up with an overpriced home.
Having a clear understanding of your home’s true market value is the first step in establishing your list price. Market value is how much a home would sell for under normal conditions. This can be evaluated through a comparative market analysis (CMA).
The competition also plays an important role in determining your home’s listing price. Buyers will compare your home to other similar Charlotte NC homes for sale in your area.
This is where your real estate agent comes in. Your agent will provide you with a CMA which contains the comparables close to your neighborhood. To create a CMA, your real estate agent will look at the price of recently sold, active, and expired listings that are similar to your home.
A CMA includes active listings which refer to the homes currently for sale and pending listings which are homes under contract. It will also include homes in and near your area which were sold in the past three to six months.
Remember not to price your home above the pending list prices, or your property will stay on the market longer.
It’s essential to know your home’s market when selling your home. There are three kinds of markets – Seller, Buyer And Neutral.
The seller’s market, also known as the hot market, happens when there are more buyers than available houses to buy. Serious buyers are often willing to pay more than the listing price. In a seller’s market, you can probably sell your home quickly and quite possibly for more than you ask for it.
The buyer’s market is the opposite of the seller’s market and is also known as the cold market. In this kind of market, there are more homes available for sale than buyers to purchase them. Buyers have more homes to choose from and homes tend to stay on the market longer. Be ready to lower your price if you want to sell your home fast in such a market.
The neutral or balanced market happens when there are relatively similar numbers of sellers to buyers, sale prices that are close to closing prices, and listings are on the market for about a month or a month and a half.
Offering incentives is another pricing strategy that can help sell your home quickly and for a higher price. You may add on to the price of your home depending on the incentives you offer.
Visit //ShowcaseRealty.net for more tips in choosing the right listing price for your home.
Call me, Nancy Braun, at (704) 997-3794. As the top real estate agent in Charlotte NC, I can assist you in getting your home sold fast for top dollar.