Here are two keys to ensure that you get the highest price possible.
1. Price it a LITTLE LOW
This may seem counter-intuitive, but let’s look at this concept for a moment. Many homeowners think that pricing their homes a little OVER market value will leave them with room for negotiation. In actuality, this just dramatically lessens the demand for your house (see chart below), and I have seen this happen to home sellers on many occasions.
Realtor.com gives this advice:
“Aim to price your property at or just slightly below the going rate. Today’s buyers are highly
informed, so if they sense they’re getting a deal, they’re likely to bid up a property that’s
slightly under-priced, especially in areas with low inventory.”
2. Use a Real Estate Professional
This, too, may seem counter-intuitive. You may think you would make more money if you didn’t have to pay a real estate commission. With this being said, studies have shown that homes typically sell for more money when handled by a real estate professional.
A study by Collateral Analytics, reveals that FSBOs don’t actually save any money, and in some cases may be costing themselves more by not listing with an agent.
In the study, they analyzed home sales in a variety of markets in 2016 and the first half of 2017. The data showed that:
“FSBOs tend to sell for lower prices than comparable home sales, and in many cases
below the average differential represented by the prevailing commission rate.”
The results of the study showed that the differential in selling prices for FSBOs when compared to MLS sales of similar properties is about 5.5%. Sales in 2017 suggest the average price was near 6% lower for FSBO sales of similar properties.
Price your house at or slightly below the current market value and hire a professional like me. This will guarantee that you maximize the price you get for your house.
If you have any questions about what it takes to get your home sold quickly, and for the highest price, just give me a call/text at 602-295-6807 and I can help answer all of your questions!
Helping to Make a Difference in Your Life
Troy Erickson Realtor