Pricing Your Home Correctly in a Seller’s Market

Pricing your house right even in a Seller’s Market is Crucial!

Many homeowners are eager to list their home for sale right now as we are, and have been, in a hardcore Seller’s Market.  Pricing your home correctly is a must, even in this crazy market.  You may be surprised to know that only about 50% of the homes selling right now are receiving multiple offers and selling for over list price.  Therefore, over or under pricing your home could lead to unfavorable offers.  

Price your home too low and it may raise questions about the condition of the home.  Many buyers will assume there is something wrong with the home if it is underpriced, especially in a market like this.  In addition, a low list price may lead to lower offers meaning you end up leaving money on the table.

On the other hand, pricing your home too high can deter buyers.  Overpricing tends to make buyers think you are unreasonable and they don’t want to even try working with you.  If the home sits on the market for longer than average, you may need to do a price drop to spark some interest in your home.  Price drops can raise red flags for buyers who will wonder why the home sat and what’s wrong with it.

Your goal will be to aim right in the middle of market value; not too high or too low.  Pricing the home correctly based on market conditions typically gets you more viewings and more buyers interested in the home.  More interest will likely lead to more offers and hopefully you get a bidding war going which will ultimately drive your final purchase price upward, getting you the most favorable terms for your sale.

I’m happy to answer any questions you may have on setting a list price for your home!