When it comes time to sell your home, one of the most important factors in determining how successful your home sale will be is the pricing. How you price your house will often directly affect how quickly your home sells, how much it sells for, and how easy the selling process is. In this blog post, we'll walk you through the challenges and benefits of pricing high, low, or right in the middle.
Pricing Too High
As a seller, you want to sell your home for the maximum value. While it may be tempting to list high and negotiate down to a price that both parties will be happy with, homes that are priced too high tend to sit on the market longer than comparable houses in the area. The longer a home sits on the market, the more difficult it is to sell. Buyers want to view houses that are fresh on the market. A longer period of time on the market could be indicative of a home with problems. All of this means that the homeowner is often stuck waiting on the current home to sell before being able to afford their next home purchase. Additionally, when sellers list their home too high, they will often be forced to reduce the price of their home until it sells below its actual worth.
Pricing Too Low
Some sellers tend in the other direction and want to list their home below its value. While this may minimize how much time the property is on the market for and aid in a speedy sale, this also means that the seller isn't capitalizing on the full value of their home. When they go to purchase their next house, their budget will be that much smaller. When a house is priced remarkably below average, it can also indicate to a suspicious buyer that something may be wrong with the house.
The best strategy when it comes to pricing your home is get a home appraisal done, and price your house accurately. The reason for this, is that when you price your home in the same range as other listings in your area, you're pricing yourself competitively. Often, when a home is priced appropriately, it will garner more attention than houses that are priced too high or too low. This larger pool of buyers often works in the seller's favor for a number of reasons:
- 1. The probability of seller finding a serious buyer increases.
- 2. The increased number of potential buyers helps the home sell more quickly.
- 3. Interested buyers will often offer competing bids which works to drive the home sale price upwards.
How To Price Your Home Right
One of the easiest ways to ensure that your house is priced properly is to invest in the services of a real estate agent who knows your area. Tarvin REALTORS® pride themselves on knowing the Ridgewood real estate market inside and out. As long-time residents of the area who are dedicated to keeping up with developing market trends, they have the local knowledge to help your home succeed in the market.
For more information about setting the right listing price, contact the Tarvin Team. They can ensure that your home sells in a timely manner for top dollar.