Determining the best asking price for a home is one of the most challenging, and also important, aspects of selling it. In fact, it’s a balancing act. You don’t want to set a price that’s so high that it discourages showings and serious offers
from the very qualified, motivated buyers who would ultimately determine your property’s top market value. On the other hand, you don’t want to set a price that’s so low that it attracts lots of interest, but sets the stage for offers and
negotiations that could result in your getting less than the market would actually support if you were a little more aggressive.
Moreover, this balancing act is even trickier now, given that we’re still in a buyers’ market that is fraught with a variety of economic uncertainties. All the more reason why, when you make your decision to sell, you should do plenty of research as well as seek out the advice of one or more experienced REALTORS® and financial professionals.
So What’s Your Home Really Worth?
In a perfect world, your home’s value would be everything you think and need it to be. Perhaps you have specific financial goals or you’ve just made an offer on another home that’s is dependent on selling your home at a certain price in a given time frame. However, simply put, your home’s value is not determined by you, but by what the market is willing to pay for it at a given time.
These days, the market increasingly includes home buyers who have researched property values over the internet for months, have already viewed at least
10 homes, and are not under any pressure to buy. Indeed, they may be quite hesitant in hopes of missing out on one of those unbelievable deals that continue to pop up.
In trying to determine your home’s true market value and, as such, set your expectations for what you’re likely to sell it for, you should:
- Try to be Unfortunately, the market is not interested in what you originally paid for your home, or how much you need to sell it for to buy your next home and meet your financial goals. In addition, your home may have features that you highly value, but which might actually reduce its market value by limiting the number of potential buyers.
- Remember why you are Do you want to sell or do you need to sell? While in a buyers’ market you’ll seldom get more money than is required to meet your financial needs. Unfortunately your personal situation may dictate that you take less money than the market would otherwise be willing to give you if you had more time.
- Research online and in You can find out a lot about your local market through research at websites like REALTOR.com®, the premier online destination for real estate information, as well as by going to open houses in your area and making comparisons with your home in terms of location, size, features and condition.