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Virginia Roberts
Principal Broker
215A East Main Street
Wise, Virginia
276-328-0055
Your Local Hometown Agency
Serving All of Southwest Virginia
Pricing Your Home
What is Your Home Worth?
All homes have a price, and sometimes more than one.
There is the price sellers would like to get from the sale.
There is the price buyers would like to offer the sellers.
And there is a price point of agreement between buyer and seller that results in a sale.
Deciding to sell your home is a big deal. Establishing the list price can can be your first big hurdle. Our Ridgeview agents can help you determine the best list price for your property based on your specific real estate goals and current local market conditions, keeping in mind that listing too high could cause your home to sit on the market for longer--possibly creating a negative stigma, and listing too low could cause you to lose out on maximizing your profits from the sale.
Points to Ponder
The value of your home relates to local recent sale prices. The same home located in another area would likely have a different value. You are looking for the "sweet spot"--not so high that you dampen buyer interest and sit on the market for months, and not so low that you undersell its value or inadvertently telegraph there may be issues or other reasons it is priced to move. Overpricing is the top reason why potential buyers walk away from what would have been the perfect home for them.
Sale prices are the product of supply and demand. If you live in a community with an expanding job base, a growing population and a limited housing supply, it is likely that prices will be rise, creating a seller's market. Alternatively, it is important to be realistic. If the local community is losing jobs and people are moving out, then you will likely have a buyer's market, with lower prices. Our Ridgeview agents have the local market expertise to help you list your property at a competitive price.
Not all home renovations have a positive Return on Investment (ROI). Home improvement increases property values, but renovating can be expensive, and there is no guarantee you will recoup all of the costs at resale. Sometimes, some form of home improvement is necessary to elevate the profile of an otherwise undesirable property. Small improvements rather than large-scale projects may be enough. Restoring your home to a good state of repair may be all that is necessary before listing your home. While the improvements may hit with some buyers, others may have different preferences and will not pay a higher price for the work that was done. If your home needs an overall update, focus on the smallest items that have the biggest impact. Your Ridgeview agent can help you determine if the expense of remodeling projects are worth it and which projects to choose for your particular property.
No matter your reasons for selling, emotions always go into the sale. Your home is a special place, and letting go of it can be difficult. If there is sentimental value attached to your property, such as memories of your parents or grandparents, pricing can be especially challenging. Thus, it is critical that you let logic supersede emotion when setting your listing price. Think about it from the buyer's perspective: just because the home means a lot to you does not add monetary value to the property. Your Ridgeview agent helps you determine the right price that is your best shot at commanding the selling price your home deserves.
If you have lived in your home for some time, you have most likely learned to ignore the items that used to bother you. When setting your price, take some time to look at your home through a clear, objective lens. Are there noises, blights, or unsightly views that a new homeowner might notice? Negative features, such as a lot of traffic, railroad tracks nearby, or maybe power lines blocking views, may require you to lower your price. Imagine a buyer standing in your home. Will they come away with an impression of a well-cared for home that needs little, if any, work, or a well-lived in home that seems dated? If it is the latter, think about what you can do to give it a bit of shine to attract buyers' attention. Our Ridgeview agents can show you the best options to consider when selling your home.
With all of the above to consider, do not be too hard on your home. You put a lot of effort into making it a comfortable and pleasant place for your family, so it is important to be realistic and give your home praise where it is warranted. Our agents at Ridgeview will point out specific features unique to your property that might play to your advantage and increase your home's selling potential. Some positives to consider are any recent home renovations, nearby restaurants, businesses, and entertainment/recreation spots, a finished basement, and a larger sized yard. Declutter, depersonalize, and simple staging go a long way in making your home desirable for the next owner.
Every seller has their own reasons for parting with their home, and the circumstances around every sale are different. Maybe you are trying to buy a house while selling, or perhaps you need to hurry your sale in order to move. All of this will factor into pricing. If you need to move quickly, it might be beneficial to lower your starting price, so you are able to attract more aggressive offers. If you want to sell in 60 days or less, then your pricing needs to be below the competition. Know your goals--ask yourself, "Which is more important--time or money?"
As painful as it may be, sometimes setting a price once is not enough. Your Ridgeview agent has done their homework, but your listing price may not be working in the current conditions. Your agent will help you respond to the market and adjust your price accordingly, even after your property is listed. The most important factor when determining if a price reduction is necessary is the average days on market (DOM) for your area. If the average DOM for properties in your location is 30 days, and your property has been listed for 60 days, then your agent will probably suggest you drop your price. You want your home to be in better condition at the same price as your competition or in the same condition at a better price. If you are not open to price adjustments, you run the risk of letting your house linger on the market, which could be a red flag for some buyers.
Your Local Hometown Agency
Serving Southwest Virginia
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