Why (and How) to Price a Home Right!

Why It’s Important to Price Your House Right Today

Even in today’s sellers’ market, setting the right price for your house is one of the most valuable things you can do. According to the U.S. Economic Outlook by the National Association of Realtors (NAR), existing home prices nationwide are forecasted to increase by 4.5% in 2021. This means experts anticipate home values will continue climbing next year. Danielle Hale, Chief Economist for realtor.com, notes:

“We expect price gains to ease somewhat in 2021 and end 5.7% above 2020 levels, decelerating steadily through the spring and summer, and then gradually reaccelerating toward the end of the year.”

Why It’s Important to Price Your House Right Today | MyKCM

How to Price Your House

When it comes to setting the right price for your house, the goal is to increase visibility and drive more buyers your way. Instead of trying to win the negotiation with one buyer, you should price your house so that demand is maximized and more buyers want to take a look.

As a seller in today’s market, you might be thinking about pricing your house on the high end while so many of today’s buyers are searching harder than ever just to find a home to purchase. But here’s the thing – a high price tag does not mean you’re going to cash in big on the sale. It’s actually more likely to deter buyers.

Why It’s Important to Price Your House Right Today | MyKCM

Right now, even when there are so few houses for sale, your house is more likely to sit on the market longer or require a price drop that can send buyers running if it isn’t priced just right from the very beginning.It’s important to make sure your house is priced correctly by working with a trusted real estate professional throughout the process. When you price it competitively from the start, you won’t be negotiating with one buyer. Instead, you’ll likely have multiple buyers competing for the house, potentially increasing the final sale price.

The key is to make sure your house is priced to sell immediately. This way, it will be seen by the greatest number of buyers. More than one of them may be interested, and it will be more likely to sell at a competitive price.

Bottom Line

Let’s connect to price your house correctly from the start so you can maximize your exposure and your return.

It is my true pleasure to  work hard for my clients and your referrals throughout Massachusetts, Rhode Island, and Cape Cod.  Please let me know what questions you may have and how I can be of the best assistance to you.

Jen McMorran, Realtor

Jennifer McMorran, Realtor, SRES
New Construction & First Time Home Buyer Specialist
MA, RI, and Cape Cod & Islands Licensed Real Estate Sales Associate
New Homes Team Kensington Real Estate Brokerage
508-930-5259
Jen.McMorran@gmail.com
www.jenmcmorran.realtor
real people. real estate. 

Best 5 Icon Logo

Serving clients throughout Massachusetts, Rhode Island, and Cape Cod & the Islands.

Boston – Attleboro – Providence – Cape Cod … and the Communities in between.

Happy First Time Home Sellers!

Jen McMorran, a sign of good things to comeWe certainly spend a lot of time as Realtors focusing on the First Time Home Buyer and developing programs to help them succeed in the most uncertain world of real estate.   Many often forget that being on the home selling side of a transaction for the first time can be a whole new world of Real Estate as well.  I don’t make any assumptions about my clients’ real estate prowess.  I like to give an over view of the whole process when we first meet and then handle each deal step by step as it progresses.   When selling your first home, you have a different set of responsibilities and will be negotiating from a whole different perspective.   Having years of experience working on both sides of transactions, I understand how to guide sellers when making decisions throughout the process.  I assist in preparing a home to sell, pricing a property, marketing your home to prospective buyers and agents, guiding you through what can be a tedious negotiating  process, and  helping you find just the right next home.

Whether you are buying your first home, selling your first home, building your first home, haven’t experienced a real estate transaction in years, or feel like a seasoned real estate investor… laws and processes are always changing.  You can rely on me to communicate through the entire process, be available for consultations, and generally make sure we are constantly moving forward in a transaction.  My goal is always to produce Results that Move You!

Jen McMorran, RealtorJennifer McMorran, Realtor
New Construction & First Time Home Buyer Specialist
(and Antique lover & home owner)
508-930-5259
Jen.McMorran@gmail.com
www.jenmcmorran.realtor

www.BeHomeBeWell.com

Kensington - Jen McMorranServing clients throughout Massachusetts.
Attleboro to Boston and the communities in between.

Pricing Your Home to Sell

BUYERS DETERMINE HOME VALUES!

Buyers determine the value of your home.
Buyers determine the value of your home.
Buyers determine the value of your home.

Buyers and SellersOK, there, I have said it.  Now, if you are planning on putting your home on the market this spring in the North Attleboro area, please repeat this three times to yourself – out loud 🙂  There is no getting away from this concept.  As a listing agent, I present an analysis of price for your home.  When you start thinking about your list price,  remember, almost everyone has access to this same information I am presenting – buyers, buyer’s agents, and appraisers working for the buyers’ banks.  Don’t think you can fool anyone into believing your property is worth more than it is.

First I  look at Sold prices for those homes with similar features that have Sold in your area recently.  Sold prices indicate what a buyer was willing to pay for that type of home in that location.  Yes, there are negotiations that go back and forth between buyers and sellers, but ultimately the buyer makes the final decision whether to proceed with the purchase of your home.   Simply put, you can’t sell your home without a buyer even in the best of sellers’ markets 🙂   As a listing agent, I have to consider “Sold” data first and foremost as those closed properties tell the story of the housing market you are about to enter as a seller.   Pleeeeeeeeaaaaaaaaaaaaaaaassssssssse listen and pay attention to those numbers.  When listing your home, it is important switch your thinking from a seller’s perspective  to that of as an educated buyer to make the best decisions.

At our listing appointment, I will also show you active sales to give an indication of your current competition – definitely something to consider especially if you are looking for a quick sale.  If you need a quick sale, you should price it slightly under the competition. If you have a little time and desirable features  that set your home above the rest (and not just make it unique and desirable to a smaller set of buyers!!), you should price it competitively or perhaps slightly higher  BUT you have to be reasonable or you will lose market time and buyers’ attention.  The activity you have on the first two weeks of your listing is great indicator of how buyers and agents feel about your property and the listing price.

Consider these thoughts when establishing your list price:

•What you paid for your property does not effect its value.

•The amount of money you need to get out of the sale of your property does not effect its value. Buyers aren’t just going to give you more money because you want it or need it.

•What you think it should be worth because your neighbor sold for “x” last year does not effect today’s value (typically we look back 2-3 months). And keep in mind, neighborhood “chat” is not often the best way to get accurate information.

•What another real estate agent “says” your property is worth does not affect its value. There must be data to back up any price opinion and a buyer willing to pay to confirm it.

•The value of your property is determined by what a ready willing and able buyer will pay for it in the open market, which will be based upon the value of other recent closed sales, the amount of available inventory, rates and other variable.   BUYERS DETERMINE VALUE!!

•DO NOT automatically list with the agent that suggests that you list for the highest price.  Look at the data used to determine that list price – would it seem reasonable to you if you were a buyer?

There are a lot of variables that go into pricing a home.  Unique properties can present a challenge but again, put yourself in a buyer’s shoes.  What would you consider a reasonable value if you were to purchase your house on the open market?  What kind of “deal” would you be looking for on this type of property?  What is the toll on your life if you list too high and your home lingers on the market for an extended period of time?  Can you afford this financially?  Can you afford this emotionally?  I do my best as a listing agent, to consider all of these variables when listing your home.   Together, we can combine the current housing market data and your honest situation to produce the best pricing strategy.

Jen McMorran, Realtor       508-930-5259           jen.mcmorran@verizon.net    North Attleboro Plainville Real Estate

 

Let me know how I can help you…