The Dangers of Setting a High Sales Price
NATURALLY, EVERYONE WANTS TO GET THE BEST PRICE POSSIBLE FOR THE SALE OF THEIR HOME. But if you start out with a high sales price, then have to drop it later -- your house becomes "old news". It will be difficult to recapture that new-to-market frenzy of initial interest you might have had with a more realistic price. As a result, your house could take longer to sell. Much longer.
IF YOU ARE ABLE TO SUCCESSFULLY CONTRACT at a higher price, remember that your buyer will need to get a mortgage. The mortgage lender will require an appraisal, and if comparable home sales over the last 3-6 months, and current market conditions don't support your sales price, then your buyer won't get the mortgage. Your deal can fall apart. By then, it's often too late to renegotiate the price. Your house will have to go back on the market.
IF YOUR HOME HAS BEEN TAKEN OFF THE MARKET and then comes back on, or if it sits on the market too long, it becomes harder to get a decent offer. Prospective buyers will believe that you might be feeling the pressure to sell quickly and, as a consequence, will make lower offers. The irony is that overpricing your home at the onset may end up giving you a lower price than you might normally have received.
Take 2 Real Estate helps you set your best price!
The best way to establish your target selling price is to get an assessment made in advance. Take advantage of our experience to establish the right price. In the long run, this approach works better than trying to force a high price.
Take 2 Real Estate will run a Comparative Market Analysis (CMA) that will show the listing price of similar houses in the area as well as the prices at which the houses actually sold. Additionally, the analysis will give us information about houses currently on the market and about houses that were on the market but never sold.
Next, we will ask you about your goals in selling the house. Everyone who sells a house has different goals that need to be factored in when calculating the selling price.
Market conditions will also play a role in setting the sales price of your house. We factor in how quickly houses are selling in your area, interest rates, seller concessions, distressed sales (foreclosures and short sales), the strength of the school system, and many other factors.
Finally, we will recommend a listing price for your home that will accurately meet your goals and make you competitive in your local market.