You’re living in Atlanta, GA and looking to sell your house fast. But how can you make sure that you’re listing it for the best possible price? This handy step-by-step guide will walk you through the process.
Look at recently sold homes
Your agent will give you a comparative market analysis (CMA). This looks at recently sold homes in your neighborhood that are like yours in size, condition, age, and features, among other things. Ideally, these properties should be within a 1/4- to 1/2 mile-radius from your house.
A comparative market analysis can help you set a benchmark for your home’s listing price. But what you really want to see in this analysis is the price comparison of the comps’ original list price and final sales price. This will tell you if the properties sold for what they were listed for. This price reduction ratio will ultimately help you set a realistic listing price for your home.
Can I use other properties as comps?
Yes! Aside from recently sold homes, you can also ask your agent to look at similar homes that are active listings, as well as similar homes that are under contract or sales pending.
Looking at unsold comparable properties may give you an idea if a certain number is already considered overpriced. It can also signal that you should price your home more competitively if you want it to stand out in the market.
In a seller’s market, homes will generally sell for more than 100% of their list price. In a buyer’s market, houses will usually sell for their list price or less. Try to determine which market you’re currently in and adjust your home’s final sales price as necessary. Don’t forget to consider your home’s configuration, its lot size, and any upgrades or amenities.
Practice price banding
Now that you have a good idea of how much similar properties in your neighborhood are going for, you can choose a less crowded price point to appeal to buyers.
Say there are three similar homes in your neighborhood that cost between $325,000 and $326,000, while the next set of homes are being offered for prices above $340,000. You can consider setting your home’s price at the $330,000 price band, since there are no other homes that are similarly priced.
Don’t set an unrealistic price
If you overprice your home, there’s a big chance that it won’t sell. Keep in mind that buyers and their agents will likely do a comparative market analysis, so they’ll have a good idea of what the fair price for your home should be.
As discussed earlier, you should set a competitive, realistic price based on comparable properties in your neighborhood. You may even opt to underprice your home so that you receive a lot of offers. This may help you get an offer that’s higher than your original list price.
If you set a high listing price for your property, it may turn away buyers. And to compete with other homes in the market, you may have to make price reductions at some point in the future. All these things will inadvertently take your house longer to sell.
You may then have to deal with additional costs like paying a double mortgage, renting temporary housing, and storage fees. It’s best to price your home within an acceptable range to garner buyers’ interests and avoid prolonging the selling process.
Get your home appraised and inspected
Don’t wait for a serious buyer to have your home appraised. The appraised value may be lower than your listing price. The buyer may also decide not to push through with the transaction. Don’t let it come to that. Instead, get your home appraised and do it as part of your research to get the best possible listing price.
Unlike the comparative market analysis, which focuses on the prices of comparable properties, a home appraisal will be all about your house. When done right, it will give you a fair estimate of your property’s current market value. And knowing just how much your home is worth is a good starting point when selling real estate. If the market value is lower than what you expected, it will still help you identify the next steps to boost it and improve the listing price.
Work with an experienced real estate agent to make sure that you sell your home at the best price. If you’re looking for the best listing agent in East Cobb and the rest of Greater Atlanta, contact The Page Morgan Team.