How To Set The Price Of Your Home

[Rick Howell]

Pricing your home is tricky and can be the hardest part of selling a home. 

Setting a price can make the difference between selling a home quickly and having it remain on the market for months. Here’s what you need to consider when setting the price of your home:

Buyers have a lot of tools at hand. Today’s buyers don’t take the price of a home at its face value. There are tons of websites that help buyers find home prices across the country – including your neighborhood. When your buyer knows the property value of the house for sale down the street, they may be less likely to come view your higher-priced home.

Homes that sit on the market are less attractive. If you price your home too high, you risk having it sit on the market for weeks or even months. The longer it sits, the more buyers are wary – they may assume that it’s priced too high or has something wrong with it.

Reducing the price may not help. A price reduction can draw some buyers in, but it may also dissuade others. A price reduction can sometimes imply that the home has flaws, which may turn some buyers away.

Setting the right price can draw competition. A reasonable or slightly low price will attract more buyers than a home that’s priced too high. Competition may help potential buyers to overlook flaws and act quickly to snap up the house before their competition does. In some situations, this can even lead to bidding wars.

The Internet helps – to a certain extent. While the Internet can provide a general valuation of your house, you should turn to experts to get a more accurate property value. Particularly if you’re selling a home without a real estate agent, you’ll want to consider using an appraiser. It can take longer and cost more, but it also helps you to get the best picture of how much your home is worth.

Selling a home is more than just throwing open houses and signing paperwork. It’s crucial that you consider the price of your home before you do anything else. It can help you sell your home quickly, which saves you money and energy down the road.