How do You Determine Your Asking Price?
You obviously want to sell your house for the highest possible price. You may even have a number in mind. But how do you determine if that number is reasonable? You may be concerned that if you list your house too high, few buyers, if any, will see it. Or just as bad, if your price is too low, you could end up leaving thousands of dollars on the table.
Factors that influence market value.
- Location, design, amenities and condition.
- Availability of comparable properties.
- Economic conditions that affect real property transactions.
Factors that have little or no influence on market value.
- The price the seller originally paid for the property.
- The seller’s expected net proceeds.
- The amount the seller spent on improvements to the property.
The simple truth is that the current pool of prospective buyers will always determine a property’s value. The best way to calculate a market sensitive price is with the help of a Comparative Market Analysis (CMA) that considers properties that are similar in terms of location, design, amenities and condition that…
- Have sold in the recent past. This shows us what buyers in the market have actually paid for properties similar to yours.
- Are currently on the market. These are properties that will be competing with your for the attention of available buyers.
- Failed to sell. Understanding why these properties did not sell can help avoid disappointment in the marketing of your property.
Market sensitive pricing is one of the keys to maximum market exposure. Click here for information on marketing to attract more buyers.