Pricing Your Home

Pricing Your Home Do you want to SELL your home or just LIST it?

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The Impact of Overpricing Do you want to SELL your home or just LIST it?

What Happens When You Overprice?

  • There will be fewer showings
  • It will encourage “low-ball” offers or “game playing”
  • The price will either turn off prospective buyers or the property will not be shown at all
  • It will help sell other properties in the Northwoods that are priced right
  • It reduces advertising response
  • Attracts the wrong prospects
  • Could eliminate offers altogether
  • Can cause appraisal problems
  • Extends time on the market

Having a cushion to negotiate with, does no good if you have no one to negotiate with!

Determining Price Factors Pricing Your Home To Sell

Seller's Market vs. Buyer's Market

IN A SELLER’S MARKET:
In a Seller’s Market, fewer properties are for sale in your area. Since more buyers are competing for the same properties, your property will sell quickly.

IN A BUYER’S MARKET:
In a Buyer’s Market, there are an abundance of properties for sale in your area. This means that sellers are competing, so pricing and house condition is critical.

Julie’s team will explain the current market to you, including monthly market reports, and can give you information about factors such as: days on market, list to sale ratios, and absorption rates. With this information and guidance you can make the best decision based on what your part of the market is like.

Seller's Market vs. Buyer's Market

Condition of the Property

Location

Price

Terms

The Agent You Select

Pricing Your Home On Target How Will I Know If My Home Is Priced Right?

Although we will do everything we can to sell your home quickly, at the best price, and with no hassles, the one thing we cannot control or change is the market. Even though we know how valuable your home is, the value of your home from a selling standpoint will be determined solely by the buyers. Remember, even if your property is priced correctly today any fluctuation in the market needs to be monitored to make sure that your home is neither overpriced nor underpriced.

Julie and her team will stay in touch with you while your home is on the market to help you understand what is happening with the market so that you can make the important decisions that will help you realize your real estate goals as quickly as possible.

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Rules Of Thumb

  • If you are getting showings but no one is writing an offer, it generally means that you are about 10 to 15% overpriced for the market.
  • If your number of showings is low, and you’re experiencing a lot of drive-ups, but the buyers don’t come in to see the home, then your home is about 15 to 20% overpriced for the market.
  • If no showings are happening at all, then your house is likely priced 20% or more above what the market will bear for your property.

PRICING IN 2016*

  • For recently sold homes, the final sales price was a median 91% of the asking price.
  • Home prices increased slightly in 2016 to a median of $227,700 among all buyers.
  • In 2016, home sellers cited that they sold their homes for a median of $43,100 more than they purchased it.

*National Association of Realtors’s 2016 Profile of Home Buyers and Sellers