Pricing your home to sell can be a painstaking experience. You want to price it high enough that you get a good return on your investment, but not so high that buyers are intimidated by the cost. You want to price it low enough to attract plenty of buyers, but not so low that you lose money. Here are some things you need to know about pricing your home to sell.
First, contact your real estate agent. Your agent will provide you with a CMA, a comprehensive market analysis. A CMA provides you with a list of recently sold homes in your neighborhood that are similar to yours in size, style, and features, as well as what it sold for. Asking price and selling price are two different things. Your focus should be on what the buyer actually paid, not by what they asked.
Although your home may be worth less or more than you paid for it originally, fair market value trumps. Market value also has variables. Timing the sale of your house right could help you get more money in a shorter amount of time. For example, in areas where real estate inventory is low, you may receive multiple offers. However, in a market where there are plenty of houses from which to choose, you may find yourself sitting on the market for longer than you’d hoped, and may settle for less than you asked.
As hard as it may be for you to hear, there is no sentimental value on your home. Yes, you may have created lifetimes of memories, seen babies come into the world and elderly leave it, but this has no bearing on what your house is actually worth. Potential buyers don’t want to hear about your holiday celebrations or milestones. They want to focus on the memories they might make after they buy your property.
The very first impression a potential buyer will have is the curb appeal your house offers. When a buyer pulls up in front of your house, the goal is to have them say, “Oh, that’s cute!” or, “Oh, wow, that’s nice.” Silence, however, speaks volumes. You can influence the buyer’s first impression with a well manicured lawn, a fresh coat of paint, potted flowers, and a few small fixer-upper tasks that will make your house shine like a gem in a buyer’s eyes.
Staging your home can greatly influence its perceived value to buyers. For example, if a buyer walks into a home with stained and torn carpets, dingy or damaged walls, bulky furniture and dust in the air, they’re not going to feel excited about the potential. However, if they walk into a house that’s light and airy, fresh and clean, polished and pretty, they’re going to be more likely to feel positively emotional about potentially making an offer. Buyer’s want move in ready.
Another way to increase perceived value on your house is to gather and present any pertinent paperwork on your property. For example, a C.L.U.E. report can prove to the buyer there have been no insurance claims filed against the property. A home warranty can make the buyer feel secure in being able to access the help they need when they need it.
Warranties on appliances such as stoves, refrigerators, and in some cases, washers and dryers can indicate to the buyer that you’ve maintained the property and its systems. Furthermore, you can “sell” a buyer by selling them the neighborhood. Present a list of resources in your area such as nearby restaurants, fitness centers, parks, shops, golf courses, or other things that will tickle the fancy of a buyer.
Pricing your house to sell doesn’t have to be problematic. There’s a science to pricing your house effectively and influencing perceived value. Do your homework, put in the effort, and keep the rewards of a house that sells in minimal time with maximum return on investment.
Call John Harper at 760-902-8437 or Shaun Waters at 760-636-3404 to discuss selling your home in the Palm Springs area.