In last month’s article, I talked about the spring market and the best ways to make your home stand out. In this month’s, I want to delve more into the first of five ways to do this: price correctly.
Sellers want two things: to sell their home for the highest price and within the best timeframe for them. This is achievable – by pricing the home right. Priced too low, you leave money on the table. Priced too high? You risk some buyers not even looking at the home or having to do price reductions, which leaves the home on the market longer and often buyers assume that something may be wrong with the home.
So what is the best price? This is determined by comps, and in Lake Linganore, we live in a unique area. It is best to work with a local agent who knows all about what our area has to offer and the insight to price correctly for our neighborhoods. Though looking at properties that are currently active and under contract can give good insight into market conditions, appraisers are only allowed to use sold properties; those will be the driving indicator for market value. Below are some of the important factors to consider when pricing your home:
- Age – Older homes often need expensive items replaced like the roof or HVAC. This will have a large impact on sale price.
- Sub-division – It is important to be aware of which areas form reliable comps.
- Condition – If a home has had a lot of updates, it will photograph and show better and will get more interest which means it can be priced higher.
- Access – The amenities are why so many people choose Lake Linganore, so easy access or walking distance to these adds value.
- Views – The view is what often draws buyers – if the views are good, this is one of the first things to highlight.
- Topography – Once you live here, the sloped yards and challenging driveways hardly seem to matter but for buyers who are coming into the area for the first time, they can be pretty daunting. They can have a negative effect on even the nicest homes.
How does this bring us to timeframe? If the home is priced well it creates a sense of urgency. The buyers and agents alike recognize that the home will sell quickly and appreciate the need to write a sensible offer in a reasonable time.
Pricing your home right will ultimately lead to the best price possible. Having an agent who understands how these factors play into pricing is vital.
