Today, I’d like to share three different pricing strategies you can use when preparing to list your home for sale.
It’s important to know that there’s no one-size-fits-all solution in real estate. So, when we meet with our clients, we always offer them these three strategies. I could go into a lot more detail on each of these strategies, but I’ll keep it short and sweet for now.
The first strategy is pricing your home high and leaving room to negotiate. This is the strategy we see most often. While this strategy will sometimes work in a hot seller’s market, it can be ineffective if you price it too high. The higher you price a home, the less activity you’ll get. Why? Because every single buyer out there wants a great deal.
The second strategy is to price your home within market value. If you’re working with a Realtor, they’ll bring you the data from your neighborhood and give you a range of nearby properties. Pricing your home within that range will show buyers that you’re motivated to sell. This will increase the number of people who see your home, and this increases your chance of multiple offers.
The third strategy is one of my favorites, which is the auction strategy. For this strategy, we price your home slightly below market value. When you list your home even just a little beneath what homes in your neighborhood are going for, you’re announcing to buyers that you are ready and willing to offer them a great deal.
The intention of this deal is to draw in multiple offers, which will then generate a higher price. Using this strategy, you’ll often end up selling above fair market value because of the competition you created within your listing.
If you have any other questions or would like more information, feel free to give me a call or send me an email. I look forward to hearing from you soon.