What's Your Home Pricing IQ?

Often, in real estate, great emphasis is placed on location, location, location.  Here in gorgeous Seeley Lake we certainly have all the benefits of a beautiful and exciting location.  Location alone, however, is not the only key to real estate; proper pricing is critical.  So, what’s your home pricing IQ?  Here are two important tips to help you price your home for a successful sale:

• Set the price after doing your homework.  Pricing should be based on the value as determined by the Comparative Market Analysis (CMA), which shows what other comparable homes in the area have sold for, how long they were on the market, and how much the property was discounted before it sold.  To successfully sell a home, the sale price must reflect what the market will bear.    
• Set the price right from the start.  The goal is always to sell quickly and for as much money as possible.  While many sellers want to set the price high and come down later, the only time they can afford to do this is in a market where prices are rapidly appreciating and inventory is low.  The current scenario in the Seeley Swan Valley (and in much of the nation) is just the opposite; the values have been declining and the inventory is high.  The chart below shows how important timing and smart pricing go together (notice how a new listing generates the most interest in the first few weeks, increasing the chance for a sale).

Pricing your property at market value when it initially comes on the market is the single best pricing strategy - homes that are listed at market value stand out from the competition, especially among all the other overpriced options. And, when the asking price can be supported by the most recent comparable sales, there is no need to “pad” the listing for a negotiating allowance. As a result, the overpriced listings create a real pricing advantage for homes priced at fair market value, increasing their likelihood of a quick sale.

The graph below illustrates the importance of pricing a home well.  It shows that more buyers purchase their properties right at market value than above it, which means that pricing a home to sell at market value exposes it to a much greater percentage of prospective buyers and increases the chance for a sale.

Are you ready to sell your Seeley Lake home, or interested in finding a house in the Seeley Swan Valley?  Contact me, Kim Koppen, and let me assist you with all of your real estate needs.  Together, we can achieve your dreams!