When it's time to sell your home, it's very easy to be snared in the overpricing trap. After all, you want top price for your home, don't you? We all know that prices have risen dramatically in recent years. Given that, it's logical that the asking price you set could be higher than "fair market value." Unfortunately, you probably won't realize it's too high until much later. Here are just a few of the disappointments you'll be facing with an overpriced home:
- Responses will likely be slow and measured, since the public recognizes overpricing. Remember, people buy by comparison.
- Some prospects who are attracted may be the wrong ones. They will be attracted because they're looking for a home priced the same as yours – but with MORE features.
- Very few buyers will even make an offer on an overpriced home. The reason? Even if you accept their lower offer, they aren't getting a bargain since the final price is probably no less than "fair market value."
- Your home will help buyers make a favorable decision on other homes that are priced fairly. Do you really want to help your competition achieve their goals?
- If you do find a buyer at your price, their mortgage application could be rejected because of a low appraisal; the house simply doesn't meet the standards that the price indicates.
This all sounds rather bleak, so what can you do to solve the pricing issue? Work with an experienced professional who knows the market in your neighbourhood. Take advantage of the research and advice your Realtor can offer, and you'll be on your way to setting the right price for your home and in doing so get top dollar.
As always thanks for reading and if you would like to speak further on pricing strategies and how they can benefit you, drop me a line, I love to hear from my readers.
Have an absolutely incredible day!