The Price is Right - Savvy Home Sellers Accept the State of the Market
When it comes to selling your home, there are many questions to ask. One of the most important questions has to do with whether or not you can accept the current state of the market and price your home properly. Human nature being what it is, many home sellers make the common mistake of over-valuing their property. Sure, there may have been a lot of living in the home, perhaps hands-on personalization and many wonderful memories, but this does not increase the market value in most buyers' eyes. In the end, a real estate transaction is business; the less emotional one is about the pending sale (while difficult) the more successful one will be.
Savvy home sellers are aware of these points. They listen closely to their agent's description of the current state of their market, carefully review presented comps and make pricing decisions accordingly. Over-pricing a home in hopes it will miraculously sell well above market price is a mistake. Subsequently, chasing the market with reduction after reduction is a frustrating and many times futile exercise. The listing may be perceived as stale or problematic to potential buyers even with price reductions. While the home may eventually sell, isn't the primary objective of most sellers to sell their property as quickly as possible for the highest price the market will allow? I know that is my objective when it comes to my clients. Pricing the property correctly the first time not only typically moves a home more quickly, it could actually enhance the seller's bottom line.
In the Toluca Lake - Burbank West markets, I've observed competitively priced properties sell fairly quickly and sometimes with multiple offers. Multiple offers? Wow! How does that happen and could you, as a seller, find yourself in a similar situation? Why not? This is not about setting an unrealistically low, ridiculously below market offering price but about careful research and market knowledge. Today's buyers are educated and a multiple offer situation may be catalyzed by setting a sales price merely a few percentage points below market. In the end, sellers: know the current condition of your market and nearby competition. Resist over-valuing your home even though it may seem tempting. Trust your Realtor® as they are here to guide and empower you. If you are not satisfied, let your agent know and talk it through - communication is key. And finally, accept reality whatever it may be. If you are underwater, contact a real estate professional for assistance. We truly are here to help!