There are a variety of opportunities in the Central Pennsylvania real estate market for both buyers and sellers. If you're a prospective buyer click here for a full home search, or if you're considering placing your home on the market this spring, get a free home value report, right here. Is it time to refinance? Click here!
For our blog today though, we are going to be talking about home pricing. Getting the correct listing price is important for home sellers, so we are going to talk about some things to consider when pricing your home.
Home pricing is a very subjective matter. Many sellers choose to price their properties with room for negotiation. What they don’t realize is the more they do that, the more they are pricing themselves out of the sale they want.
Let’s assume the fair market value of your home is $200,000. In most cases, homeowners are going to price their home above that price when putting it on the market. But how much above fair market value is sufficient? When making a guess, it’s important to study supply and demand, which is what a good agent can provide you.
You should also understand showing activities and when it peaks, which is usually around the 3rd week after the home first comes on the market. It then drops off after the fourth week. When your home has been on the market for over 90 days, showing activity becomes sporadic. This means you have the strongest chance to sell in the first 30 days after you list.
If you list your home too high, you may end up pricing yourself out of the market. A good buyer’s agent would recognize the home is worth $200,000. If the home then sat on the market for over 180 days, it is going to encourage low ball offers from buyers. Had you priced the home at $205,000 from the get-go, buyers would recognize that it’s slightly above market value, but they would be much more likely to make an offer of at least fair market value. A serious buyer recognizes value vs. price.
If you’re in the market to sell a home, we have a listing specialist that can help you understand the supply and demand of homes in your market, and give you expert advice on where you should price to get maximum value. Give us a call or send us an email to set an appointment and we will help you set the best price possible for your listing. We look forward to hearing from you!
