A serious mistake made by many homeowners when they are ready to go on the market is wanting to set the price too high. With a price that is set too high, the "For Sale" sign can stay up too long and that can hurt. If you need the money from your home to get into a new home, sometimes it makes more sense to start a little lower to make the sale without undue delay, particularly if you already have your heart set on the purchase of another place. You don't want the pressure of being in a home that is languishing on the market while you are getting more and more anxious to move on.
Get Knowledgeable Help
The key to a quick transaction is to price your home just a little less than other similar homes for sale in your neighborhood. If you are working with a Realtor, the agent will be able to provide you with an analysis and tell you what prices other homes like yours have brought. Setting a realistic price point is an asset a Realtor can contribute to get the process started in the right direction.
Quick Sale Versus Higher Price
Consider the process of buying a consumer item for your home. You would probably not spend too much time making a decision between an item for sale in your neighborhood and one that might cost less but you were required to spend a lot of time researching, finding and transporting and making arrangements. Your time is an asset, and that is just as true for the time needed to find the perfect buyer, or rather having the right buyer find your home. If you look at it with this in mind, you can start to see the problem in a new way. Another disadvantage, if you are in a slow market is that having to reduce your price after having your sign posted awhile it gives buyers the idea that you might be getting desperate or at least anxious; and buyers may respond more than you like to any sign that you may be in an unfavorable position.
Consider Timing Too
The market may not only set the price you can get, as outlined above, but when the sale can best be undertaken as well. In other words it might not be the ideal time for you to sell for your desired top price, but still, when things change, you might have to move with little notice. You may have to be willing to wait, then take advantage of a market shift and sell more quickly, depending on the market environment and momentum. The latter situation could be especially problematical; though you may have options available such as staying with family or friends for a while if you are pushed into a sale of your home before you decide on another one, it is more likely you would have to find a rental situation which could start taking away from the cash you made from your careful timing. This is not the usual situation but if it does happen you may be successful in getting the buyers to stay in their current home longer. More often, though, it works out that the buyers are anxious to move into their new place as soon as their loan is approved so you might not be able to stay -- the schedule is hard to change once you get into the process.
The Condition of the Home Impacts Not Only the Price but Also How Quickly It Closes
Something some sellers inadequately consider when pricing their home is whether their home is in the same condition as other homes that recently sold for an attractive price. If you have not maintained your home in top condition, you are not going to be able to sell it at the same good price as similar homes. Even in this situation, though, you can sell it quickly by setting a price low enough to cover any work the buyer will have to do. Work of a serious nature such as structural or safety items, missing or broken shingles, and faulty heating and cooling units may not be eligible for this kind of treatment, although you can do it for problems that affect the attractiveness of the home. Projects such as improving the landscaping, tidying up those old gutters or shutters, and fresh new paint can sometimes be skipped in exchange for a price reduction as long as it is clear to the buyers they will be putting in some effort in exchange for that great competitive price break you're giving them. Doing what you can to sell it in the quickest reasonable time, looking at it objectively, will be in your favor.
There are buyers out there who are always looking for such a situation, and if your home is in anything less than absolutely the best condition you need to be especially careful in your pricing to make it work out well. Regardless of condition, the best way to win as a seller is by pricing the home fairly and objectively, right from the beginning.
This content was furnished by Automated Homefinder, the ultimate Denver real estate specialists of Colorado.
