There is no such thing as a one-size-fits-all selling or pricing strategy in real estate, especially when selling houses (residential property), as I have repeatedly stressed to clients, customers, and/or potential ones over the course of my more than 15 years as a real estate licensed salesperson in the State of New York.
Times, market circumstances, the present real estate market, the general situation of the economy, supply and demand, etc. are just a few factors that have an impact on how much a property will cost to sell! In most circumstances, the better the outcomes are the better one knows some of the options and approaches the situation with an open mind (without being greedy, etc.) since there is a substantial difference between the listed price and what it finally sells for. This essay will aim to quickly investigate, evaluate, review, and explain what this implies and signifies, why it matters, and what they are in light of that.
1. Price determined through a competitive market analysis (CMA) that was professionally planned or created: I firmly think that basing a home’s price on a professionally-designed and produced Competitive Market Analysis is generally the best course of action (CMA). One may get a good notion of what previous purchasers have been ready to spend by comparing the subject property to others in the vicinity that are the most comparable to it. For the most part, this means getting the highest price in the quickest amount of time with the least amount of difficulty or stress. However, when local real estate markets are radically moving, either up or down, this must also be taken into consideration when determining a listing price.
2. Aggressive/high pricing: Many people refer to this as when the home is offered at what seems to be an exceptionally high price! The greatest time to employ this strategy is during periods like the one we’ve seen in the last year, when home prices are steadily increasing at high rates.
3. Mid-range price: Many people like to use a mid-range pricing plan during “regular” periods! This entails considering the results of the market study and placing the price of the property for sale somewhere in the center of the range suggested!
4. Lower – end: Circumstances and situations in which a lower – end pricing strategy may be suggested include the seller’s need to sell as quickly as possible, the home’s potential lack of some of the most-preferred features/inclusions offered by the competition, and/or the desire to draw in more buyers.
5. Stimulate a bidding war: On occasion, a certain property, a specific combination of circumstances, or both, make it a suitable moment to encourage a bidding war! This is often accomplished by advertising a lower-than-usual listing price in the hopes of attracting more real, qualified, prospective buyers and, therefore, more accepted bids.
Understanding current market circumstances, finding the finest real estate agent for your requirements, and knowing what you need and desire are all essential to selling your home. Doesn’t it make logical that the value of one’s home represents his single biggest financial asset for the majority of people?