In selling a home, pricing can make or break the sale. The perceived overall value of any property is intimately related to its price, so knowing how to price properly is crucial. Even the most beautiful home may be overlooked if not packaged and priced right.
Real estate is always shifting, especially in these uncertain times. Fortunately, the Park City housing market remains relatively insulated from macro-level changes affecting the rest of the country. Trends from the second quarter indicate stable and consistent prices, with pricing growth at or even above the national average.
If you’re thinking of selling a home, rest assured that there is a present opportunity. Below are some strategies to help you capture the worth of your home and price it the way it deserves.
Hire an aggressive listing agent
Not all listing agents are created equal. To find an aggressive full-time agent, take the time to research the market, talk to friends, neighbors, and colleagues about who they recommend, and interview multiple agents before making a hiring decision. In addition, be sure to come to an agreement about a specific, documented marketing plan before signing a long term listing agreement.
Do comparative research
You can get a clearer idea of the price range you’re working with by examining properties comparable to yours based on location, size, features, and overall condition that have been listed in the last six months. Remember that pricing is incredibly dynamic and dependent on the local market, so don’t be surprised if a house built the same way as yours is priced very differently because of the area it’s in.
Take note of seemingly minor differences – the side of the street the house is on, for example, or proximity to freeways – as these can have a significant impact on the perceived desirability of the home.
Price your home aggressively
Setting the right price for your home is the single most important decision you will make when you decide to sell. Go too high and you risk turning off every buyer in the marketplace, go too low and you leave money on the table. One simple but powerful technique for pricing your home aggressively is to spend the day looking at your competitors’ homes. By doing so you will be seeing the world through the buyers’ eyes. Be tough and honest with yourself. Compared to the competition what would be a price that would position your home as the best value proposition for buyers in your marketplace?
Offer a bonus to selling agents
The agent who brings a buyer to your home is typically referred to as the selling agent or the buyer’s agent. In a market crowded with inventory many sellers find it wise to provide an incentive to motivate these agents to show their home more frequently. While you may cringe at paying real estate brokers even more money, the fact is it may provide just the push they need to work a little harder to sell your home for top dollar.
Offer incentives & pre-paids
A buyer who has narrowed their search down to two or three top choices may need a little push to motivate them to take action. To encourage buyers, many sellers offer incentives like buying the interest rate down on the purchaser’s loan, paying for closing costs, inspections, or repairs, or providing allowances or credits for home upgrades after closing. In addition, many sellers prepay for services like internet services for a year, taxes or homeowners association dues, or even golf club memberships.
Stage the home & use curb appeal
Buyers won’t pull the trigger unless they become emotionally invested in your home. To help build a stronger first impression start from the outside first by working hard to improve your home’s curb appeal. Next move inside and stage each space by creating a focal point and a story for each room. A set dining table, a book by the bed, or a game in the kids room are all simple examples of staging.
Use a pre-appraisal and pre-inspections
A pre-appraisal is an appraisal of the home before a buyer has made an offer. By having this done early you will have an objective voice that has provided a value for the property independent of your own opinion and maybe a great tool in talking with buyers. In addition, many sellers do pre-inspections of the home to provide buyers with a clear whole home inspection or pest and dry rot inspection. (A word of caution: anything discovered during a pre-inspection will likely need to be disclosed whether you fix the issue or not).
Learn to fail fast
If something isn’t working, successful sellers have the strength to fail fast by making adjustments to their strategy quickly. For instance, if after implementing your marketing plan buyers don’t begin to view your home on a regular basis, this is a clear indication (a red flag) that the market is rejecting your price. There is only one solution: lower your price. On the other hand, if you have steady stream of buyers touring your listing, yet you aren’t receiving any offers, this is often a symptom of buyers rejecting, not the price, but the home itself. Something about the home is turning them off. Savvy sellers attempt to identify the problem and take proactive action to correct it.
Pricing is a nuanced endeavor that may seem daunting at first, but with the right strategies and the guidance of your trusted Realtor, it will prove to be key to letting everything else fall into place.
If you’re selling your home in Park City, Utah, we at Team Schlopy Real Estate will be glad to offer key insights into the market today to help guide you through the process. Contact our team here or call (435) 640-5660. You can also email firstname.lastname@example.org.