Pricing to Sell
Now that your home is ready to be put on the market, it is important that it is priced so that it sells at, or close to, your asking price. Your home should be priced at market value. A common definition of market value is "What a ready, willing buyer will pay, at a price a seller will accept." In order to determine the market value of your home, your Realtor will do a Comparative Market Analysis, of your home. The CMA compares your home to other homes in the area. You may want to provide your Realtor with a list of items about the property that you feel are major advantages. Here are a few other things to keep in mind:
When Setting the Price, Keep in Mind:
List is not permanent. It may change and you should be prepared for negotiation.
Interest rates may also contribute to the price set on your home. You can make the price a little bit higher, but add that you will pay closing costs or give an allowance to the buyer for fixing the roof, etc.
Overpricing will make your home to sell more slowly, causing you to spend money to keep it in "selling condition" for a longer amount of time.
It is also important to be clear on what exactly is included in the sales price. The asking price is not the same as an appraisal price.