Most summers, buyers have a leg up on sellers in the housing market. This summer, however, the unusual circumstances are changing the game.
That’s not to say that buyers will have the advantage but that sellers will need to think carefully about how they market and price their home.
If you’re ready to sell, the first thing you’ll need to learn is how to price your home like an expert. This can help to reduce the time spent negotiating and get you one step closer to closing the deal.
Read on to learn everything you need to know about how to price your home.
1. Get a Home Inspection
The first thing to consider is getting a home inspection. Any eager buyer is going to do the same, and you might as well know what they’re going to uncover.
Getting a home inspection will help you get a rough estimate of how much your home is worth as-is. You can get a sense of what needs to be upgraded, or what will lower the value of your home if you don’t upgrade.
Don’t get blind-sided by your buyer’s home inspector. Start with one of your own.
2. Reach for Value-Added Upgrades
Now that you know what parts of your property are in good condition and what parts could use some work, it’s time to reach for value-added upgrades. A value-added upgrade is one that raises your property value enough to make the up-front cost worth it.
Many first-time sellers make the mistake of upgrading elements of their property that won’t actually make a dent on the overall value. A lot of times, these upgrades are aesthetic rather than practical.
If you have a lot of structural issues, you will want to focus on a handful that you’re willing to fix and leave the rest to the buyers. This is where weighing your options gets tricky. Click here to find out why upgrading an old roof is always worth it.
3. Think Market Comparison
Now it’s time to take a look at the other properties in your area. Your goal is to find properties that are similar to yours that have sold in the last year.
What makes a property similar to yours? Think location first, size second, and condition third.
If you are in a rural area, try to narrow your search radius to eight miles or less. If you are in an urban or suburban area, bring that search down to a one-mile radius. Then, look at things like square footage, amenities, renovations, and other factors to select the properties that are the most similar to yours.
Try to find both their asking price and their closing price. This will give you a good indication of what buyers are willing to pay for a property like yours.
Knowing How to Price Your Home Gives You a Seller’s Advantage
Asking too much or too little can really hurt your ability to sell your home and turn a profit. Knowing how to price your home like an expert gives you a leg up before buyers have even looked at the property.
Interested in luxury real estate? Take a look at our website. We’re sure that you’ll like what you see.