If you are in the beginning stages of selling your townhouse in White Bear Lake, Minnesota, one of the biggest questions you’re considering is certainly “How much will I be able to get for my home?”
A natural tendency for sellers is to overvalue and therefore overprice their home, as noted in this article. The author references the real estate climate in Michigan, but these principles are equally true in Minnesota.
It may seem like a smart idea to set your townhouse’s price high, at least initially. Why not see if you can get as much as is humanly possible? Well, there are several “why nots” when it comes to overpricing a home. For starters, if your townhouse is priced substantially higher than others in your area, you won’t get many showings. Or, as noted by Mr. Cassidy, it will be a handy showcase for your neighbor’s real estate agent to show why his or her property is a much better value.
Few showings can mean that your home will sit on the market for a long time, and the longer it sits with no action, the more “suspicious” it begins to look. What’s wrong with this house? Are other buyers finding serious things wrong with it? These are not the questions that you want potential buyers to have in mind when they take a look at your townhouse.
Smart sellers can distance themselves emotionally from their homes when it comes to pricing. Your townhouse may be your first home as a married couple, or the home where you welcomed your first child. Selling it for a specific price may feel like your ticket to your next set of hopes and dreams. But none of that matters to buyers, and allowing your emotional attachment to your home to cloud your judgement when it comes to pricing only hurts you in the long run.
Follow Mr. Cassidy’s advice and listen to your real estate agent. Find one who has a deep knowledge of the White Bear Lake, MN real estate climate, and trust their judgement when it comes to the best price point for actually selling your townhouse, not just listing it impressively high. It’s a buyer’s market right now, but that doesn’t mean that you can’t set a fair asking price. You just have to be smart about it.