Three Tips on Pricing Your Home Correctly

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Pricing your home for sale is a calculated and strategic form of art. Using the average price per sq ft and multiplying it by your homes sq ft is no way to come to a price point. You need to think about all the qualities of your home that makes it different from the one next door (good or bad). Not only is every home different but every seller is different. Here are three tips to consider in pricing your home.

1. Identify what your top priority is for selling your home.
In today’s market, many seller’s are experiencing a multiple offer situation. While this may be an ideal position to be in, it can also feel overwhelming and in some cases it can be an emotional process. However, if you are clear about what your main goal is before you list your home for sale, you will be able to assess your options clearly and make a solid and quick decision.

2. Consider your best and worst case scenarios before, during, and after the sale of your home.
You can start by asking yourself some of these questions: Do I need to sell quickly? If yes, what is the absolute lowest price I am willing to sell my house for? What price will I be happy with if I only get one offer and it is for asking price? What is the amount of money I need in net profits to purchase my next home? Are there any issues with my house that will cost the buyer a significant amount of money to fix? If I price my house at the top of the market, am I willing to miss out on potential buyers that won’t consider anything in this price point? If I don’t receive any offer after a few weeks on the market, am I comfortable making a price reduction? How often am I willing to make a price reduction? How long am I willing to list my house if it doesn’t sell?

3. Learn about all the comparable homes in your neighborhood.
Keep in mind that although it is important to know the asking prices of current homes for sale, it is more important to know what most recent closed sale prices are in your area. Another thing that some people miss exploring are the homes that went on the market and never sold. These homes are called “expired listings” and they are your best indicators for over priced homes.

Having an experienced, knowledgeable, and honest agent help you through this process will be your key to pricing your home correctly. He or she should be able to recognize what is important to you and help you figure out a price that will deliver the results your are looking for. Of course, I am always here to help in any way possible and I offer free home evaluations to anyone that is interested in knowing their home value. Please don’t hesitate to contact me if you have a question or would like a consultation. 310.387.4693 or laurenw@hmsold.com

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