Deciding it’s time to sell your house isn’t easy, but it’s not as difficult as the task of pricing your home for sale. Pricing your property is not as simple as figuring out what you paid, adding a little cushion to that number, and hoping for the best. In fact, there is a combination of tools and resources available to you that can help you price your home competitively.
Online Home Valuation Calculators
Online home valuation calculations are the first stop for many people deciding to sell their home. It’s a quick-and-easy method for gaining a rough estimate of your home’s value. However, online calculations are far from being an accurate source for pricing your home. Online valuation calculators assess your home’s value based on accumulated data, but that data can be incomplete, inaccurate, and cannot assess your the condition of your house, upgrades, or other contributing factors. There’s nothing wrong with obtaining this information as long as you understand it’s just a rough estimate and not the sole factor in how you price your home.
Although your home will have to be appraised during the transaction, it’s a good idea to have a pre-appraisal conducted to help determine the asking price you place on your house. You won’t be able to use the appraiser’s estimations in the actual sale of your home, but it can certainly guide you in the right direction for pricing your house to sell.
The pre-appraisal will detail items deducted from your property’s value which you can then rectify to increase your property’s value during the actual appraisal. These minor items include things like damaged electrical socket covers or light switch covers, torn window screens, rusty doorknobs, etc. Although these issues are minor and are easily fixable, they can count for hundreds of dollars in the appraisal. Appraisers work in $500 increments; therefore, small details can equate to big bucks. Review your appraiser’s assessment so that you can make repairs before showing your property.
Tour Your Area for Houses for Sale
Compare houses for sale in your area to see how they stack up against yours. Look for homes that are similar to yours in size, style, and location. What is the asking price of those houses, and how do you feel about those numbers? Remember, house-shoppers are going to browse around, check out all the homes for sale in the area, and will compare one house to the others. Put yourself in the buyer’s shoes and see what competition you face.
Trust Your Real Estate Agent
Your real estate agent will show you a Comprehensive Market Report, also known as a CMA. This report will show you the recently sold homes in your area as opposed to those that are currently for sale. This report is significant because it shows you the difference between asking price and selling price, and also how long each house was on the market before it sold. Keep in mind that the asking price and the sales price don’t always match up. Asking price is what the seller thinks he or she may get whereas selling price is what the buyer paid.
Don’t Rely on What You Paid
Real estate market trends dictate the value of a house. Your house may not hold the same value today as it did when you first bought it. On the flip side of that coin, it may be worth more! You can’t gauge your asking price on the price you paid unless those numbers align with current market trends.
You Can’t Sell Your Memories
When it comes to real estate, there is no such thing as sentimental value. You cannot ask buyers to pay for the memories you made during your tenure in the house. Buyers want to envision making memories of their own. Your memories and experiences in the home you’re selling are indeed priceless. Hold those memories in your heart and take them with you when you leave.
No one can tell you for certain what price tag you should put on the house you’re selling. However, you can lean on the data in combination with the assessments, experience, and advice of professionals in the real estate industry.
Your real estate agent is the best source of information about the local community and real estate topics. Give Heidi Herda a call today at 612-807-4858 to learn more about local areas, discuss selling a house, or tour available homes for sale.