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Pricing Your Home For Sale, 5 Things To Consider

By Kuppan Gayathri

Five Consideration When Pricing Your Home For Sale

When you list your home for sale, be sure to know what your house is worth and WHY. When pricing your home for sale and based on what your neighbor got is unrealistic. That’s not how buyers determine value and it’s not how we are going to do it either. There are five key factors that you should consider when pricing your home for sale.

1. Comparables

It is important to be in tune with houses are selling for your particular subdivision or neighborhood. When pricing your home for sale, make sure to factor in like items and unique items (which can be good and bad) and layout.

Look at the size of the homes that you are comparing your home to. While the size doesn’t need to be exact, it does need to be close. Compare the square footage and number of bedrooms and bathrooms and the lot square footage.

When looking at comparables when pricing your home for sale, look at the different amenities. Compare and understand what another house had or didn’t have that makes your house more or less desirable. For example, if your house is the only one in the area that has a fireplace and main floor bathroom, THAT IS IMPORTANT.

Condition is a big consideration. Appraisers rate houses based on condition as do buyers. It is important to objectively understand how your condition compares to another house when pricing your home for sale. Is your house a tear down, fixer upper, updated or pristine? Where does your house fit on that scale? Did you properly prepare your home for sale? Kitchens and bathrooms sell houses. Did you upgrade your kitchen and bathroom with builder grade materials or did you use upscale materials? Did you freshen up the house with a fresh coat of paint in a neutral color? Buyers like to have a clean slate to work with, they want to be able to imagine themselves living in the house, so your specific color choices may need to go.

2. Time frame

When doing comparisons of sales in the neighborhood, it is important to see WHEN the house sold. When pricing your home to sell, if you are using a comparable that is too old, more than a few months, it may not be a good comparable. The market is very different today than it was in 2003 and 2008.

As a side note-this also means if you had me come over last you to do a market analysis and did not sell within 6 months of the analysis, things change. If you held off, be sure to ask me for an updated price based on the market when you are ready.

3. See For Yourself

Visit as many open houses in your neighborhood as possible. Get inside and see what the competition is doing. Understand what the other houses have and why they are selling for a particular price. Perhaps the master bedroom has a window that faces a brick wall, that certainly will not in any of the pictures online. Pictures are an important tool to lure buyers in. If your master bedroom has a water view and the comparable you are pricing against, faced a brick wall, that means more money in your pocket.

4. List vs. Sale Price

When pricing your home for sale, understand what is happening in your neighborhood. Are the other homes sitting on the market and eventually getting marked down? Are the homes selling at list price or above? These are goof factors to consider when pricing your home for sale because they are an good indicator of what is going on in the market.

5. What’s NOT Selling and Why

When you get out there and gather knowledge about your neighborhood, note if something is selling and figure out why.

Contact me for a free market analysis of your home or if you are ready to sell.

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6820 Elm Street, McLean, VA 22101
PH. (703) 636-7300