What should my selling price be?
January Property News
You’ve finally decided on a selling price and then you meet an agent who tells you that you could sell for a lot more than what you are currently asking for. Do you get carried away with the agent’s advice, or is it wiser to take a more conservative approach to pricing?
In this article we discuss the considerations around how to correctly price your property. At a time when every cent counts in a property transaction, we have a word of advice.
Most real estate agents searching for business will recommend a selling price that is fair and along the lines of what the market is willing to pay.
However, in a seller’s market some agencies have been known to overprice properties in appraisals to get listings, this can often lead to frustration for the seller if the initial expectation is too high.
So this is why you have to look at many factors when it comes to pricing your property.
We often feel that our property is worth more than it really is, however we can’t let our emotions drive our decision-making process.
It is important to do some research around your local area to find out what similar properties sold for in the last month or two, or you can contact a local real estate agency and request a report of recent property sales.
Once you have the property sales data, study it to determine how your property compares with those recently sold. Undertaking this analysis will help remove the emotion from the process, and help give you a realistic price range for your property. Also, knowing this information will help you have a more informed discussion when deciding which agent will sell your property.
of what has happened recently in the local property market, it is also important to understand how the market is trending. A local real estate agent should be able to help you with this information, being able to recommend a price range that is achievable and in line with the current market.
What should you expect from your agent, when it comes to pricing your property?
It is standard business practice at Oz Combined Realty to provide potential sellers with a comprehensive written report as justification of a sale price estimate.
Our report normally includes: sales and growth chart for the area including a median moving sale price, recent comparable sales, sales by price range and sales by sale date.
POINTS TO CONSIDER:
- Do some research. What have similar properties sold for in the last month or two?
- Set a price that is in-line with current market expectations.
- Some agents suggest high prices in their appraisals with a plan
to negotiate down when a buyer comes along with a lower offer. Be careful who you choose as your agent.
While you now have an understanding