Pricing Your Home

Proper pricing is imperative when selling real estate. That being said, home values are always changing with varying market conditions. What we know is that an overpriced property will never sell. And if it’s underpriced, then you potentially leave some money at the table. Ivan Larco Real Estate is on a mission to give our clients A Five Star Experience™. What that means when pricing a home is that we take a comprehensive look at multiple factors when suggesting a listing or sale price.

Pricing your home is both an art and a science. Achieving the optimal price is the result of both objective research into Comparable Properties, Years of Listing Experience and the Status of the Current Market.

The right price should:

Attract Multiple Buyers and Offers

Allow You to Earn the Most Money Possible

Help You Sell as Quickly as Possible

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The simple fact is, price is the number one factor that most homebuyers use to determine which homes they want to view. And it's important to remember that, although the price is set by you, the value of the home is determined by the amount of offers submitted and the offering price. Overpricing, which could lead to the house sitting on the market for a long period of time causing buyers to think that there is something potentially wrong with the house, is a common mistake that can cost you in the end.

The Importance of Proper Pricing:

Faster Sale and Less Inconvenience

Exposure to More Buyers

Increases Realtors Response

Generates More Buzz/ Calls

Attracts Higher Offers

Means More Money to Seller

Avoids being "Shopworn"

What really matters is how your home stacks up against the others currently offered for sale and recently sold in your neighborhood. Buyers will be comparing.

Common Reasons for Overpricing:

Over-Improvement

Purchasing in Higher-Priced Area

Original Purchase Price Too High

Lack of Factual Data

Move Isn't Necessary

Bargaining Room

Emotional Attachment

Opinion of Family and Neighbors

Dangers of Overpricing:

Most of the activity on your home will occur in the first few weeks. Pricing a home properly and then creating immediate urgency in the minds of agents and buyers is critical.

Buyers who have seen most available homes in their price range are waiting for the "right house" to come on the market. That's why if a house is priced right, it will sell quickly. The buyers are there waiting for it.

Don't start with a high price and the assumption that you can reduce it later. By the time you decide to lower the price, it may be too late, as interest will have alreadywaned.

A major cause for concern is appraisal problems; overpricing can lead to loan rejections and lost time.

Even if your home is nicer than other homes in the same area, your house won't be picked for viewing if you set the price too high.

Buyers and agents become aware of the long exposure period and often are hesitant to make an offer because they fear something is wrong with the property.

Attracting the wrong buyers.

Fewer potentially qualified buyers will respond.

You might help sell similar homes that are priced low.

You could lose money as a result of making extra mortgage payments while incurring taxes, insurance and unplanned maintenance costs.

The Role of a Real Estate Agent in Pricing

Provide you with a comparative market analysis (CMA), a comparison of the prices of recently sold homes that are similar in terms of location, style, and amenities. A CMA is performed by comparing previously sold homes in the area, and currently active homes to know your competition.

There is no "exact price" for real estate. We don't tell you what we think your home is "worth". The market determines value…together we determine the price.

Determine the price based on the factors you control: Marketing Time, Financing Alternatives Provided, Condition of the Home, Exposure Methods.

Keep in touch with Market Trends and keep up to date with Market Activity of comparable homes.

Help to determine Offering Incentives.

An agent has NO control over the market, only the marketing plan. Never select an agent based on price.

Would you like to know your home's estimated value? Just fill out and submit the form below, and we'll analyze the comparables, local trends and other local market data to provide you with an up-to-date and accurate estimate of the worth of your home or condo.

All personal information collected by Ivan Larco Real Estate is done so exclusively with your consent, by means of a form posted on our website, an email received from you or by telephone. No information is collected automatically.

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Let's discuss the details of your ideal home, the home buying process, market conditions, and any other concerns your might have.

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We will ensure that you have A Five Star Experience™ with Ivan Larco Real Estate.