Pricing Strategy That Works
Many real estate agents will simply run a Comparative Market Analysis (CMA) of homes in your neighbourhood and give you a range of what your home might sell for. But, the fact is – each home is different and unique. It takes skill, knowledge and expertise to realistically value a property. Some real estate agents have a tendency to give you an inflated potential sale price just to secure the listing. As your property languishes on the market – while others sell, they will ask you to reduce your asking price. Eventually, your property sells for less than it would if you priced it right the first time.
You can be assured, when Alex meets with you to value your property that all relevant comparable sales will be taken into account. This will give you an accurate representation of your potential sale price and show you how your property compares to recent sales. This process allows Alex, as your REALTOR® and you as the seller to be comfortable with the asking price. The numbers don’t lie. So after reviewing all the comparable sales, you might find your property is worth more than you thought, or the opposite might be true – maybe it’s worth less than you thought. Alex prides himself on providing a true representation of value, not an inflated one.
Here are a few things to consider when valuing the property:
Once a reasonable market value is determined, it’s time to look at local market conditions. What types of properties are selling and how quickly, how much inventory is currently on market, what’s the average Days on Market in your neighbourhood, what properties will you be competing against, etc. This allows us to determine whether to price on the high, low or in-line with comparable properties.
Sometimes, in a balanced market, it’s necessary to take into account what season you’re selling in. Is it -40C in the dead of winter? Or is it springtime, with flowers blooming, green grass and full trees? When it’s peak selling season and lots of buyers are looking, it’s a great time to price on the high end of the comparable sales. If it’s a slower season, it might be better to price on the lower end of the approximate market value.
Expectations & Priorities:
Ultimately, the final listing price decision lies with you, the Seller. The information provided to you is so you have a realistic expectation of approximate sale price. There may be a need for you to sell quickly or you may have lots of time. Either way, it’s important to be transparent and open, so you can be advised properly. Aside from the necessary disclosures sellers are required to make to buyers, all information you share with me remains confidential.