Seller's have two main goals. First to get the most money possible, and second, to sell as quickly as they can.

Be realistic when pricing your home. The price of your home is the number one factor that most home buyers use in determining which homes to look at. Although the price of your home is set by you, the seller, the value of the home is determined by the buyer. Don't allow your enthusiasm to cloud your judgment and lead to overpricing - a mistake you can't afford to make.

Below are a few factors to consider when selling your home. This information is not all-inclusive and does not replace the expertise provided by a REALTOR®.

Things to consider when pricing to sell:

  1. Urgency. How quickly do you have to sell?
  2. Competition. How many homes are available in your price category and area?
  3. Available Financing. Does your home come with an assumable loan that is below today's rate? What are the current home loan interest rates? What financing alternatives are available for your home and area?
  4. Competitive Market Analysis. Do you know what similar homes in the area sold for within the last six months?
  5. Expenses. What are your selling costs?

What Does NOT Affect Your Asking Price?

  1. Original Cost. Your price is determined by today's market.
  2. Investment in Improvements. Potential buyers will evaluate your home (i.e. wallpaper and carpet) and may include the costs to remove or replace in their offer.
  3. The Cost to Build Your Home Today. A replacement value is determined for insurance purposes only.
  4. Personal Attachment. Prudent buyers purchase based on their emotions, not yours.
  5. Neighbour's Claims. Don't listen to what your neighbours tell you the fair market value for your home. Other homes in your neighbourhood may not be as similar as you think. Also, the terms accepted by both the buyer and seller greatly affect the sale price.

What Happens to Overpriced Listings?

  1. It will Help Sell the Competition. Homes that are "correctly priced" look even better if yours is overpriced. Most buyers are competitive shoppers.
  2. The Home Will Stay on the Market a Long Time. Did you know that approximately 80% of your potential buyers will see your house in the first four to six weeks? If you don't sell them then, it takes approximately three months to replace them with an equal number of newcomers.
  3. It will Lose the Interest of Qualified Buyers. Serious buyers use the value, quality and price of similar properties as deciding factors.
  4. A Negative Impression can be Created. People will wonder why your house is still on the market - they'll believe something is wrong with your home.
  5. The Seller May Have to Accept Less Money. Studies show that the longer a house is on the market, the greater the discount off the list price. Often a seller will accept less than fair market value in order to sell because of an approaching deadline.
  6. There is the Potential for Appraisal Problems. The appraiser from your buyer's lending institution must agree that the home is worth the asking price. If the appraiser believes the price is inflated, the loan may not be approved.

Look To a REALTOR® When You Need Answers Fast...

As you can see, there are many factors that determine the asking price of your home. Finding this price yourself can be a long and difficult task. That is why thousands of satisfied homeowners, like you, turn to a REALTOR®. A REALTOR® has the tools necessary to compute the fair market value of your house quickly and accurately while allowing for personal considerations (such as the date by which you must sell). Your REALTOR® can also confidently answer your questions about listing, pricing and showing.

The Saugeen Team's goals are the same as yours:

  1. To get you the most money possible.
  2. To sell your home quickly.
  3. To make selling your home a pleasant and profitable experience for you.

Contact the Saugeen Team!