How To Price Home

When deciding on how to price your home, there are several things to keep in mind. Not only will the price affect potential sales, but it will also affect your bottom line. By following a few simple steps, you can put the right price on your home.

1. First, you need to find out the fair market value of your home. To do this, you need to do a comparison of what homes in your neighborhood have recently sold for and how much homes are currently listed for. The best homes to use are the ones that are close to the same size, have the same number of bedrooms and the same number of baths. You want to price your home competitively, especially if you want a quick sale.
2. If you are working with a realtor, it's a good idea to have them run comparables on your home. A realtor has experience in pricing homes and can help you determine the best price. However, it is ultimately up to the seller to choose the price the home is listed for.
   
3. Pay attention to how the market has been doing. If homes are sitting on the market for long periods of time, it may behoove you to price your home a few thousand dollars cheaper to help it move quicker. It all depends on how quickly you want to sell your home and if there is a certain price you are willing to take for it.
4. Do not overprice your home. There is nothing worse to a buyer than a home that is obviously overpriced. A buyer may skip over even looking at your home if it is overpriced. You don't want to lose potential buyers just because you wanted to earn a couple thousand extra bucks.

Never put a price on your home just because you think it's what the house is worth. You may be underestimating its value and shortchanging yourself. On the other hand, you may be overpricing and causing fewer buyers to view the home.

Reference:

Realtor Benefits Program