Fair Or Fiction? 3 Strategies To Help You Price Your Home

Pricing a home properly may be the difference between selling it quickly and watching it languish on the market for weeks or months. Therefore, it is critical that you know how much it is worth before you list it for sale. What are some strategies that you can use to ensure that your home is listed at a fair price?

Look At Recent Home Sales In Your Area

The first strategy would be to look at recent sales in your area and see how those homes compare to yours. Let’s say that your home has three bedrooms and has 1,000 square feet of living space. If you see that another property with similar attributes was just bought for $150,000, you should consider asking for $150,000. However, you may ask for more or less depending on where your house is located or whether it has been updated recently.

Create A List Price Based On Average Annual Appreciation

Let’s say that you bought your home for $100,000 five years ago. In the meantime, homes have appreciated by 5 percent per year in your area. In that scenario, you would want to price your home at $120,000 to $130,000. Of course, you also have to take into consideration the condition of your home as well as other market factors that may play a role in determining how much a buyer may offer for a given property.

Try To Lure Buyers Looking For A Status Symbol

In many cases, buyers associate the price of an item with its quality. Therefore, a house listed at $200,000 may seem better than one priced at $180,000 just because of the higher price tag. While this is certainly a risky way to price your home, it only takes one offer to take your home off of the market.

Consult With A Real Estate Agent When Pricing Your Home

However you choose to price your house, consult with a real estate agent, like the professionals at Marsee Wilhems Real Estate Team, before doing so. He or she will have information, insights and analysis that you can use to ensure that your list price is fair and will attract offers when it first hits the market.

On the open market, your home is worth whatever someone will pay for it. By using past sales data or appreciation figures over the past few years, it may be possible to make an educated determination as to how much someone will pay for your home. When done properly, this can help you sell your home faster and move onto your next property.