There are numerous ways to price your home in today's market. The most popular is the appraisal method. With this method you find 3-6 properties similar to your home that have sold in the last 1-3 months. Some appraisers will go back 3-6 months if they need to. This is a good way to solidify a purchase price. However this is past data.
If you are looking to be competitive and sell in today'smarket you have to look at another option. Put your self in the position of the buyer and look at active listings. How can you compete against the homes that are already on the market. Number one is price but you can also other features that make you more appealing. How much is that worth to a buyer? Remember don't go overboard. Buyers are savvy and will always look at price.
Lets take a look a the two examples. Lets say you have a average 3 bedroom 2 bath ranch in a good size subdivision. If you find 3 properties identical to your home and they all sold within the last 3 months with an average sale price of $245,000. You could list the home for $249,900 and expect offer in the $245,000 price range. Would you agree? There is no guarantee your home will sell for this.
With my method we take active listings. We are still looking at the same 3 sold comps but we are competing against 6 other homes that are on the market from $235,000-$245,000. If you list at the $249,900 you are chasing the market and will only help sell your neighbors home. I am sure they will thank you for that.
If we price the home at the $235,000 we are now leading the market and your neighbor will help sell your home in a quicker time frame. Then you can go thank them.
Are you curious on the value of your home? Go to www.YourLocalHomeValue.com fill out some information about your home. Then you will be sent a computer generated report for your area. (sorry south central/Milwaukee wisconsin area only)
View an example here.
This is just an estimation. If you are looking to sell you really need to have an experienced agent come through your home.
Brad Koenig
www.YourLocalHomeTeam.com
262-719-7393
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