Determining Your Property Value
Comparative Market Analysis (CMA)
The real estate market is always fluctuating so it is important to remember that, while we understand you want the highest price possible, it is crucial not to overprice your home. We have the knowledge and experience to look at your home and help you price your home based on several different elements.
The first necessity is to do a CMA. This report is a detailed breakdown of the homes in your area that have sold within the last 90 to 180 days. It allows us to examine the current market and help you price your home accordingly. We will be able to show you what other homes in your area have sold for, how long they were on the market and also any price reductions during their listing period.
We can determine what features your property offers that may contribute to adding value and what items may need attention prior to listing your home.
Pricing Your Home
Once you have established what your home may be worth we will then further examine your specific situation. We will inquire about features of your property that may set it aside from the rest. Additional attributes such as central air conditioning, recent updating, age of appliances, sprinkler system or any other items that will help us better price your home for a quick sale.
We will also want to address any items that are in need of repair or replacement. Even is only cosmetic, we want to make sure that any issues are addressed prior to going on the market. We can help suggest the best list price for your home but ultimately the final decision is yours. The objective is to get your home sold for as much as possible in a timely manner.
Not only at the time you are listing your home but during the time it is on the market you need to have an aggressive agent that will continue to watch the market and maintain new comparables to assure your home is staying priced competitively. Watching the trends in your area and keeping any eye on the inventory are all important aspects of getting your home sold.
Common Mistakes & Dangers of Over and Underpricing Your Home
There are many factors to consider when pricing your home. Here are some key points to keep in mind:
- When a buyer is viewing homes, they too are looking at comparables and if your home is the highest priced in the neighborhood they may decide on a similar home at a lower price.
- If your home is the highest price on the market you may miss potential buyers because it is priced out of their price range.
- When a property is overpriced it can become stale on the market and many people will start to think there is something wrong with the home or that it is a problem property.
- Expecting to recover all the monies you have invested in the home is not always realistic. Every buyer expects homeowners have maintained and updated the home as needed. There are some exceptions to this such as finishing rooms or basements, installing upgraded or energy efficient appliances, etc.
- In the event you underprice your home in hopes of a quicker sale you could leave potential buyers with the impression there is something wrong with the home and leave thousands of dollars on the table.
- Setting your price too high to "see what happens" can be damaging right from the start. The first few days a home is on the market is the best time to get the most qualified buyers and you don’t want to make the mistake of losing their interest from the very beginning.
Pricing your home strategically at market value is key to getting the most from your investment as quickly as possible. Our experts will take the time to meet with you and personally view your home and discuss the various options for finding the perfect price point. Our goal is to help you reach your goal and make sure you have the best experience possible. We offer free consultations and no obligation appointments to provide you with a complimentary CMA. We want you to be well informed and know you have the best agents working for you.