Hilton Head Island Sellers - Pricing Your Property to Sell
Understanding market conditions:
The first step is to establish a satisfactory asking price for your home. Improper pricing is a common mistake and often costs home sellers thousands of dollars.
What to consider:
If the price is too high, it will not sell and can eventually become stigmatized as "shop-worn". On the other hand, if the asking price is too low you may find yourself giving thousands in profit to a total stranger. Finding the appropriate price sets the stage for a successful selling process.
Be objective. Remember that selling your home is a business transaction and you need to keep your personal feelings and attachments to your home completely out of the equation. This is critical! Potential buyers are not looking to buy your home; they are looking to find a house that they can make their own.
Establishing a price:
By failing to establish a realistic price from the beginning, many home sellers end up costing themselves thousands of dollars. The value of a home is determined by supply and demand. A market with many sellers but few buyers causes a drop in prices, and homes tend to sit on the market longer. This is referred to as a "buyers market". But when the opposite is true, and there are many buyers but few homes for sale, prices will rise and homes will sell very quickly—this is known as a "seller's market".
So how do you know which market you are currently in? Your best bet is to ask a professional; but don't spend money on a formal appraisal. Your REALTOR® will provide a market analysis for you, determine which type of market you are closer to, and then study your neighborhood to compare your home to others based on style, size, number of bedrooms, baths, garage, basement, view, and lot size.
Calculating your bottom line:
Once you have established the market value, you can calculate your bottom line or "net figure". This is the check you will receive after all the home-selling expenses are paid. Closing costs vary depending on how the contract was structured and where the closing takes place. When you meet with your REALTOR®, ask for a very accurate estimate of which costs will be incurred and what these costs will mean to your net figure.