The biggest and potentially most costly mistake people make when selling their home themselves is not establishing an appropriate asking price. The right price tag is perhaps the single most crucial factor in selling a home. To overprice is to risk scaring off potential buyers and even being unable to sell the house. Even if you subsequently lower the price to a more realistic range, the novelty of the home's appeal is generally lost after two to three weeks of showings, and demand and interest wane after 21 days. Although underpricing may bring more traffic and offers on your home, you will be selling the home for less than it is worth.
REALTORS® specialize in basing the price on the home's worth or value in the current market and to prospective buyers. Determining the price is part science and part art, and involves a thorough analysis of a number of variables. First, a professional agent will evaluate comparable listings and sales taking into consideration the location, neighborhood or other physical dividing lines, size, age, type of construction, and other factors. The next evaluation involves “sold comps,” which includes comparing original list price and final sale price to look at price reductions, determining ratios of final sale prices to actual sold prices, and making adjustments for differences in lot sizes, configuration, and amenities. A history of expired and withdrawn listings is pulled to determine why those homes did not sell and analyze for any patterns or common factors. Other factors evaluated and considered include pending sales and histories, active listings, average days on the market, square foot comparisons/price per square foot, and market dependent pricing (buyer's market, seller's market, balanced/neutral market).
It can be difficult for homeowners to determine an appropriate price range, in part, due to the emotional connection to their home (as opposed to a REALTOR'S® objective assessment of the house itself). The custom walnut kitchen cabinets you designed and had built may have significant value to you, but will be much less valuable to a buyer who isn't particularly fond of walnut, for example.
If you would like more information about how CENTURY 21 Alpha can serve your best interests by conducting a thorough market analysis to price your home, please call me at [PHONE]. I would be happy to meet with you to discuss this and other benefits a professional real estate agent can offer in helping you sell your home.
Sincerely,
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