Pricing for perfection is all about setting the right price from the start. Many sellers are tempted to price above market value and let buyers try to negotiate it down. But as we’ll see, in this day and age, this is becoming an increasingly risky strategy. Today, pricing accurately and realistically from the outset is your best bet. Here’s a quick rundown of why that is.
As web-savvy consumers gain more and easier access to information from all manner of markets, including the real estate market, sellers who price their homes too high are finding themselves at the mercy of buyers who know how much it’s really worth, and who would just assume move on to the next, more realistically-priced home. Today’s buyers are smarter than ever, with access to market resources that were once only available to real estate professionals, or to those with close connections in the business. But luckily, the same resources that have become available to help buyers shop for homes are likewise available to you, the seller.
A CMA, or Comparative Market Analysis, lets you see the prices of comparable homes, in comparable markets, to your own. A quick Google search of similarly sized, styled, and aged properties in your area can give you a good idea of your home’s market value. But no two homes are exactly alike, and your home’s true value is as unique as it is. So, while you can rely on the web to get a general idea of your listing price, it’s a good idea to enlist the help of an experienced real estate professional who has not only the right market insight, but the right eye for the nuances that affect values on a home-by-home basis, to be able to set the perfect price for your home.
The Magic Window
One reason it’s so important to pricing for perfection right from the start is to maximize your chances of selling during the “magic window.” As you may have read in our “Home Staging 101” resource or in our Seller’s Guide, the “magic window” is the time after you list when your home is likely to receive the best offers. This is typically in the 3rd and 4th weeks after your home goes up for sale. But if you price your home too high at the outset, by the time you and your buyers have negotiated down to a more market-realistic price the window may have come and gone. Homes that remain on the market for 5 weeks and beyond have the effect of seeming less desirable than, and of getting buried by, newer listings. We can help you determine the price most likely to land you in the “magic window.”
Market Knows Best
In the end, the market determines your home’s price, not you. Remember, your home’s sentimental value and its market value are not necessarily the same thing. But with the help of a local market expert like the experts at the Authentic Real Estate Team, you can be sure that whatever price the market demands, we can help you set your home’s price accordingly.
Pricing a home is an art. Price too high, and you’ll sit on the market too long; too low and you’ll sell yourself short. Pricing for perfection requires knowledge of the local market and an ability to identify and accentuate a home’s most unique and desirable features. With the Authentic Real Estate Team help, you can be sure that the price you set will be calibrated to optimize the price you get.