Are you Thinking of Selling your home in the Okangan? Please take a few minutes to read the Sherlock and Associates Real Estate - Proper Pricing Philosophy
Serious buyers tend to look in a price range that has been predetermined. Their budget is determined by a number of factors: their down payment, monthly payment, affordability or simply comfort level. A seriously buyer becomes very knowledgeable of the properties and options in his/her range. An unreasonable asking price can often discourage potential buyers from spending the time evaluating your home and all the details of your real estate listing. Two very important facts to the buyer to really consider your property.
In many of our market segments supply is plenty. Buyers purchase by comparison, a property priced above the competition does not "compare" favourably. Thus that home may be skipped. Inviting a buyer to "make an offer" could indicate that a fair price has not been established.
If you plan to adjust your price at the time of a sale, we have found in our years of expieience it is better to adjust the price now and attract additional serious buyers. This can often place you in a favourable position, having more than one buyer interested in your property.
Vendors who want to price their homes with a “cushion” can often attract the exact opposite result. It is very difficult to obtain a reasonable offer on a property that could be viewed as over-priced. If a potential buyer does decide to prep an offer they often feel they should be just as unreasonable in their offer. The initial viewing can be one focused on seeking negatives to justify their low offer.
By contrast, good offers are much easier to obtain on a reasonably priced property. You can then choose which offer to accept with no obligation to one that does not meet your requirements. Also the buyer will view your home with a very different state of mind, looking for value not focused on flaws.
The buyer who sees the true value in the property will be the one who is willing to pay for it.
To obtain proper market exposure, it is an absolute necessity to be competitive in price, terms, and condition, with similar properties that are selling in the area.
If you are a serious seller, price your property at market, and attract serious buyers. You will stand a much better chance of getting the full-market value, and your property will sell much faster.