Why Pricing Your Home Too High Could End Up Costing You

The surest way to increase the odds of a smooth, painless sale is to set an appropriate price for your home. Despite this fact, many home owners become a little too ambitious with their listing price.


Always perform some market research and work with an agent to set a reasonable listing price. Doing so will help you avoid these common problems:


Lingering Listing

 Home buyers will tend to steer towards listings they see as a good value. If your home is priced higher than other comparable properties, they may pass on viewing or buying it for cheaper listings. The more often this reaction happens, the more likely your home is to sit on the market.


Even if a quick sale is not your chief concern, a prolonged listing period can harm your ability to sell at all. Buyers and the representing real estate agents may question if there is something wrong with your house. They may judge any defects they do find more harshly as a result.


Others may play the waiting game to see if you become desperate enough to chip away at your asking price. In either scenario, any interested parties will expect more and want to pay less.


There is also the danger that you are pricing your home out of many buyers’ search criteria. People looking online will often place a cap on their home listing price. Your home may be just out of their budget. This can consequently get your home screened out of their search results.


Incessant Immaculacy

 Having a clean home is absolutely vital when showing the property. You must keep the lawn and interior maintained. You will also have to put away a majority of your personal belongings to keep the property from looking cluttered or disorganized.


Putting on appearances for a couple of days a month can be fine for a while. Constantly having to tidy up for months on end can get old fast. Eventually, your stress levels will elevate after having to repeat the same tasks over and over again.


Anemic Appraisal

 If your buyer is going to secure financing in order to purchase your home, they must first get an appraisal. Should their appraisal fall well short of your asking price, they will be unable to pay for the property in full and must find a way to close the gap.


This sudden realization will delay a sale significantly. Many times, they are simply unable to purchase the home in this situation, and you must start back from square one with another buyer.


All of these factors are why it is important to set a reasonable price from the beginning. Work closely with an experienced real estate agent to determine a fair price for your home given the current market and comparable listings. To find out more about reliable home selling techniques, take a look at our selling page.

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