Using market intelligence to price your home

Thursday 06 Sep 2018

Getting a professional appraisal is essential before you list your home.

Do Your Research

Before choosing an agent, do some research and familiarise yourself with the local market. Look at recent sale prices for properties like yours and start to monitor properties that are on the market to see what happens with them. They may sell fast, or linger for months, followed by a price change and then a change of real estate agent.

This information is useful when setting your price as, in the end, it’s the buyer who decides the price. What agents do best is make the most of negotiations so you get the best price out there.

Assemble Your Team

The successful sale of your house comes down to a number of factors but having a good team to navigate through it with you can make or break the sale. The key members of your team of course are you and your agent. A friend or relative who has sold a number of properties before and whose wisdom and opinions you respect can also help, even if they just reinforce what your agent is telling you! If you feel uncertain or start to lose confidence in your agent, talk to them, and if that fails, find a new one. It’s your home and your money so you need to be satisfied you’re getting the best out of your investment and that things are proceeding, as you would like.

Set Realistic Expectations & Make Timely Decisions

An agent will give you information about your property’s value based on its location, size, age, special features and the current market. Don’t dispute their appraisal figure because you want more money, or because you can’t believe it could be true. Get second opinions, if you have doubts, until you can settle on a figure that seems realistic and aligned with current market activity.

Once the price is set, you need to pay careful attention to what happens next. If the price is not right, buyers will let you know pretty quickly. An overpriced property could sit on the market for months without selling. Being decisive as well as strategic about your pricing before you list is crucial. Once it’s out there, if you’ve started too high, it can be hard to make up for the negative impressions created in buyers’ minds.

DISCLAIMER: The following advice is of a general nature only and intended as a broad guide. The advice should not be regarded as legal, financial or real estate advice. You should make your own inquiries and obtain independent professional advice tailored to your specific circumstances before making any legal, financial or real estate decisions.