It goes without saying that you want to get the best price possible for your home, but that’s sometimes easier said than done. Some sellers ask for too much, and their properties languish on the market as a result. Others ask for too little, and they wind up getting less than the full value of their homes.

Fortunately, it’s possible to strike a balance that allows you to maximize your return while eliminating the risks associated with pricing too high. The key is being informed. When the price you set is based on local data and time-tested strategies, you can expect a far better outcome than you otherwise would.

If you’re preparing to sell your home, here’s what you should know about setting the right price…

Take stock of your home

Your home’s features, dimensions, and layout all affect how much buyers are willing to pay for it. Based on these factors, you may have a perception of what your property is worth. Unfortunately, the assessments sellers make are almost always incorrect. As just one example, homeowners frequently think they should set a higher price because they have a pool—which is rarely the case.

To get a more accurate sense of what you’ll likely sell for, work with a professional who has a thorough understanding of home value. You can make the process more efficient by having key information (like your property’s square footage) and paperwork (such as documents related to major renovations), on hand.

Use your Comparables

The buyers who view your property will be comparison shopping, and looking at price points is part of the process. Their agents will also advise them as to whether the price you’ve set makes sense given the current market. Fortunately, the real estate professional you work with will be analyzing comparables to make sure that it does.

In the simplest terms, comparables are homes that are very similar to yours—in terms of community, size, condition, and features. Once your agent is acquainted with your property, they’ll do a deep dive into sold listings like yours. Next, they’ll pull recent prices to create what’s known as a comparative market analysis. This document will ensure that you’re better informed when it comes time to settle on a figure.

Consider search engines

Most home buyers have a price range in mind, and they’ll use it when they’re searching for listings online. Unfortunately, they may never see your property if it’s slightly above the highest sum they’re planning to pay. That’s why it’s best to optimize your price to increase the number of buyers who will view it.

Of course, it doesn’t make sense to list for a number that you would never actually accept. Luckily, your agent can help you tweak your price to maximize views, without attracting attention from buyers who aren’t likely to make it to closing. Remember that some home hunters may be willing to go slightly over their ceiling if your property is their dream!

Be flexible

Most sellers try to stay on top of regional prices before they put their home up for sale. The truth is, only a local expert knows how the market is changing, and what it means for your sale. Keeping an open mind when you speak to your agent could mean the difference between receiving agreeable offers the first time around, and having to drop your price.

If you do find yourself in a situation where you have to reduce the sum you’re asking for, you should still be open to what your agent suggests. The last thing you want is to cut your price several times. Relying on expertise can help you avoid that outcome.

Work with the right agent

It may seem obvious, but finding an agent with pricing expertise can help ensure that you’re in the best position to receive attractive offers. Posing the right questions during the interview process is key.

Of course, it’s not all about the price you set. Thorough home preparations, savvy marketing, and informed negotiations can all play a role in how much you’ll ultimately get for your home. When you’re thinking of working with an agent, ask them about their pricing strategy, and how they’ll optimize each step of the process to help you get the best price possible.

For over 36 years, our clients have trusted us to minimize risk, offer unbiased opinions, and ensure their best interests are served. Contact us today to talk about your needs, by emailing us at evan@christensengroup.ca or calling us at 416-441-2888 ext. 772.