When selling your home, it’s important to remove the emotional factors and to understand the home valuation process, in order to objectively choose an appropriate listing price. That garden you dug through hard dirt to create, and nurtured with love, may represent little or no value to a buyer. You can’t let that get to you, nor can you over-value the house because of it. There are several factors to consider, including your timing, the return on investment you are hoping for, and the home’s value. The first two will be largely determined by you, but the third factor, home value, is often determined by outside factors.
It’s All in the Timing
First, how fast do you need to sell your house? If you’re looking to sell your house quickly, consider setting your asking price a bit lower than market to encourage fast action. If you can afford to be more patient, take this into consideration when setting your price. Of course, setting a price that’s too high for the market may put off potential buyers, and agents may avoid showing these homes. You do not want to find yourself in this situation. Be realistic as you consider your listing price.
How important is your return on investment? Think about whether you are looking to make a profit, break even, or just get your equity out of the house. If you choose to use a real estate agent, your agent should be able to show you a “net sheet” which will tell you with great accuracy about how much money you can expect to see after the transaction is complete. This reference is a must during negotiations, as you will want to refer to it before settling on any price.
Finally, the most important and generally least available information is related to home value. Our reports provide essential, hard-to-find information that can guide you to make educated choices about selling your house. The HomeSmart Value Report gives you straightforward, objective information about the true value of your home, using the same statistical models used by mortgage lenders.