Correctly pricing your home for sale

Karen B. Lawrence NJHOMETEAM

Pricing Your Home

Creating a pricing strategy

One of the ways a Realtor adds value to the process of selling your home is in creating a pricing strategy that produces the best possible return on your investment in a timeframe that meets your requirements. You must first decide what your primary goals are. Some examples are:

A fast sale and closing (you're relocating and need to sell so you can buy a new home)

Maximum return (you are planning to retire and are not under any time pressure)

The CMA

The CMA (Comparative Market Analysis) is a key part of the pricing strategy for selling your home. It is essentially a comparison of your home against homes recently sold and currently on the market based primarily on numbers of bedrooms, bathrooms and total rooms. Additional factors such as lot size and the presence of a driveway and garage may also contribute to the comparison.

Market Conditions

How are homes in your area selling? Are more expensive homes languishing while less expensive ones disappear? What's happening to mortgage rates? Are there many similarly-sized homes on the market? What about that new waterfront development - how will it affect the value of my home? Unless you know what's happening in the local housing market, you don't really know the value of your home.

It takes a qualified, licensed Realtor to properly assist you in determining the price you will list your home at. Remember that ultimately, only the market can decide what your home is worth. So if you haven't done your homework in researching market and competitive conditions, you're really just guessing.

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