Pricing a home for sale is a bit science, a bit art. If it was pure science those online valuation sites would be a lot nearer to the truth with their estimates, but instead it's not uncommon for those automated valuations to off by tens of thousands of dollars (or even worse).
And frankly not every agent is on target with their pricing skills, or perhaps it's just a case of going with the seller's price to get hired. I know this might seem a bit cynical, but when you've seen it done enough times, even had the listing agent tell you they're using the seller's price, well.....
There are obviously a LOT of factors that go into determining a home's value. There's the obvious stuff like number of bedrooms, bathrooms, lot size and garage spaces. And some things aren't as apparent (a home's updates, what's upwind, area noises, etc.). And some things can be "factual" but not as relevant as you might think. Two different houses with the exact same square footage can feel entirely different based on layout and openness.
So basically your home's pricing can be in one of three categories:
1. Overpriced. And we see this regularly, especially during times with a shortage of inventory. Supply and demand, grab for the most dollars possible, right? But overshoot what the market will bear and the public will either ignore the home entirely, be afraid of insulting the seller with a "low" offer, or the home will be competing with homes truly worth that same dollar amount and lose out. Overshooting market value MIGHT get you a buyer willing to overpay, but the likely outcome is months and months on the market waiting.
2. Underpriced. Well here's the good news: you're not going to be on the market long. You might not even realize you were underpriced! And if you're lucky, your home gets in a bidding war and you go well over asking...all the way to what you should have gotten if your home was priced right initially.
3. Priced right. Unless you're in a HUGE hurry to sell, this is where you want your home positioned. Getting in the right price range is the compromise that gets you sold in a reasonable amount of time and for a fair amount of money.
Want to talk about Warren County Ohio home buying and selling? Call or email us, 513-520-5305 or Liz@LizSpear.com.
Liz And Bill aka BLiz