How to Set the Right Price for a House

Selling a house is a big decision. It’s also an expensive one, with the average home seller paying a commission of 5 to 6 percent of the home’s sale price. When you’re getting ready to sell your home, you probably want to know how much money you’ll end up with after paying commissions and other fees.

Setting the right price for your house with www.myloganrealty.com is the first step in getting top dollar for it. Here are five tips on how to set the right price:

Consider the market

The right asking price depends on what’s happening in your area. If there’s not much competition, you could ask more than market value. But if there are lots of similar homes on the market, you have to make sure yours stands out. If it doesn’t, you’ll have to be willing to accept less than what it’s worth.

Look at recent sales prices

The most objective data point is what recently sold homes in your neighborhood went for, which you can find using a website like Zillow or Trulia or through a real estate agent who can show you comparable properties in person.

Price Your Home Competitively

The best way to find the right listing price is to look at comparable homes in your area. Ideally, these should be homes that have sold within the past six months and within 1 mile of your home. So do your research!

Consider Market Conditions

Don’t just look at what other people are selling their home for, but pay attention to how long their house has been on the market, too. The longer a house sits on the market, the lower the final sales prices tend to be — so if there are a lot of houses in your area with long list times, you probably want to go with a lower listing price.

Understand your goal

Before you pick a number for your list price, make sure you understand exactly what you want to achieve by selling your home. There are two ways to approach this. First, are you willing to accept less money in order to get a quick sale? Or, do you want to sell for top dollar and wait for it? If time’s not on your side, don’t be afraid to cut a few zeros off of your list price — it’ll make buyers sit up and take notice.

Research the current real estate market

Before pricing your home, take a look at comparable houses in your area — including recently sold properties and active listings. Note their prices, square footage and amenities to help determine what you can expect buyers to pay for similar homes. You can also go online or contact your local real estate board to get access to a list of recent sales in your area.

Determine what you owe against what an appraiser says it’s worth

If you’re selling because you need money to purchase another home, you’ll need to know how much equity you have in your property before setting an asking price. The easiest way to do this is by commissioning an appraisal from a professional appraiser who will determine what they believe your property is worth based on its current condition and local comparable.