“Guide to Selling Your Home” has been prepared by Royal LePage Real Estate Professionals to assist you in answering your questions about the selling process. It outlines the steps that will help you obtain the best results when you list your property for sale.
Pricing your Home
Once you’ve achieved a realistic sale price, you can count on your property being professionally marketed and promoted to bring more buyers to your door. You can also expect to sell your home for the best possible price in the least amount of time.
The Benefits of Right Pricing
- Your property sells faster, because it is exposed to more qualified buyers.
- Your home doesn’t lose its “marketability”.
- The closer to market value, the higher the offers.
- A well-priced property can generate competing offers.
- Real Estate Professionals will be enthusiastic about presenting your property to buyers.
Determine the Value of Your Home
The market ultimately determines the true value of your property. Before you compare your home to similar properties and establish a competitive list price, the following points should be considered: Location, Size, Style, Condition, Community Amenities, Buyer Supply, Financing Options.
Getting to Know Your Market
A comparative market analysis is an indicator of what today’s buyers are willing to pay for a home. It compares the market activity of homes similar to yours in your neighbourhood. Those that have recently sold represent what buyers are prepared to pay. The homes currently listed for sale represent the price sellers hope to obtain. And those listings that have expired were generally overpriced or poorly marketed.
Your Real Estate Professional will prepare a comparative market analysis for your home based on the most current market information. Together you and your Real Estate Professional will establish the proper list price for your home.
Understanding the Factors That Influence Overpricing
- Extensive renovations/hidden costs
- Desire to purchase in a higher priced area
- Original cost of the home was too high
- Building in “bargaining room”
- Lack of real market information
- Perceived emotional value
The Results of Overpricing
Many sellers believe that if they price their home high initially, they can lower it later. Often, when a home is priced too high, it experiences little activity. Gradually the price will come down to market value, but by that time it’s been for sale too long and some buyers will be wary and reject the property.
On occasion, the price is dropped below market value because the seller runs out of time. The property sells for less than it’s worth.
You may think that interested buyers “can always make an offer”, but if the home is overpriced, potential buyers looking in a lower price range will never see it.
Those who can afford a home at your asking price will soon recognize that they can get better value elsewhere.
As soon as a home comes on the market, there is a flurry of activity surrounding it. This is the crucial time when Real Estate Professionals and potential buyers sit up and take notice.
If the home is overpriced, it doesn’t take long for interested parties to lose interest. By the time the price drops, a majority of buyers are lost.
If you find yourself wondering what it would be like to have a larger kitchen, an extra bathroom or just your own private space away from the kids, you are probably wrestling with the dilemma – should we renovate or just move?
It is never easy to uproot your family and move to a new home, especially if you have settled in and grown comfortable where you are. This is why we are often tempted into over-improving our homes instead of just moving to something that meets our changing needs. While it is difficult to separate emotions and memories from financial considerations, it is often helpful to step back and look at what sort of return you get when investing in a major renovation.
The Appraisal Institute of Canada’s most recent Renovation & Home Value Survey lists the top 20 best and worst resale renovations. In a poll conducted annually, 200 appraisers nationwide are asked to rank renovations by their return on investment. The results are summarized as a percentage of the money spent on each renovation that a homeowner can expect to recoup when they finally move.
Please feel free to contact any one of my recommended staging consultants/interior decorators for assistance in preparing your home for sale…
Colleen O’Hara, ASP
Real Estate Staging Specialist & Interior Decorator Maximum Staging & Decorating
Ellen Forbes & Leslie Hopkins
Elegance Understated Interiors
William Vipond & Jamie Tait
VIPONDTAIT Décor Planning Ltd. ”Make it a Model”