HOW TO SELL MY HOME FOR A PRIME PRICE
We can help you understand how to price your home for the best possible outcome, both price and time wise.
This free, expert advice is based on a decade of helping home sellers achieve better than expected house sale prices and mostly within short sale time frames.
There are four key factors that help influence an optimum sale price:
1) Your choice of real estate agent and their ability to accurately price your home in their real estate appraisal.
2) Using the most appropriate method of sale to generate a high volume of qualified buyer interest in your property type, price and location.
3) The extent to which you prepare your home to sell. For example, minor improvements, repairs, maintenance and home staging can make a significant difference to the price a home can sell for.
4) Identifying any risks that could make selling your house challenging and managing them. There are six main reasons that prevent a house from selling in a timely manner or at all and we can help you address these if your property is affected by them.
Our job is to advise you for free on how sell your home for the best possible sale price. Find out more about what we do.
PROBLEMS FACED WHEN PRICING YOUR HOME TO SELL
INACCURATE PROPERTY APPRAISALS
Real estate agents can sometimes over-estimate the value of your home to convince you to list with them - this is conduct frowned upon by the Real Estate Authority.
However, a strong appraisal can also be reflective of the real estate agent’s competence or the strength of the data they are using. The best way to ensure your agent will provide an accurate appraisal is to use a real estate agent who has been vetted by us for competency.
GOING TO MARKET AT THE WRONG PRICE
Marketing and advertising a home with an incorrect sale price is one of the main reasons why a property doesn’t sell at all.
This can be because the owner's price expectations are unrealistic, or a real estate agent has over-estimated the price of your home in the market appraisal.
Sometimes home sellers have a sale price in mind that is just not possible to reach, even by the most competent real estate agents. This is one of the leading reasons why a house sits unsold for months on end, or years in some cases.
If you rely on a market appraisal conducted by a real estate agent which is inaccurate, price reductions are inevitable and stressful, so getting it right the first time around is imperative.
SIX RECOMMENDATIONS TO GET THE BEST SALE PRICE
1. PRICE YOUR HOME ACCURATELY BUT AIM FOR MORE
It is always best to establish the sale price of your home as accurately as possible and aim for more, rather than over-estimating and suffering continual price-reduced marketing which is all too common in our view.
2. USE A VETTED REAL ESTATE AGENT PROVEN TO BE COMPETENT
Agent Finder NZ can help you achieve your top sale price by vetting and shortlisting the best real estate agents for your location. It’s a 100% free. Read our testimonials to find out how happy people are with our free service.
3. CHOOSE THE BEST METHOD OF SALE
There are numerous methods of sale available and real estate agents are obliged to explain each method to you.
You may decide along with your real estate agent to test buyer perceptions of the price they are prepared to pay by using tender or auction methods of sale - although real estate websites still require a sale price range to be entered. When buyers are searching online for properties for sale, search queries often include a price range so entering the correct information ensures yours pops up in the right searches.
Getting feedback from viewers at open homes is also used by real estate agents to help them establish a sale price but this is not considered the most reliable source of information unless it’s a particularly unique property with minimal or no comparative local data to use.
With so much money at stake, it pays to use real estate agents who are competent in pricing your home accurately.
4. PROFESSIONAL PROPERTY VALUATIONS AID PRICE CERTAINTY
There are many variables when pricing your home to sell and getting a professional valuation can:
- Highlight what areas and improvements could help to increase the value
- Provide greater confidence and negotiation leverage at the point of sale
- Prevent continual price reductions (along with that stress)
Registered property valuers will use online data available to them, but they also do an on-site inspection which unlike an online algorithm can result in a more accurate sale price.
For example, chattels, new kitchen, bathroom upgrades, new flooring or roof, insulation installed, laundry upgrades, rewiring, new plumbing, landscaping or a new deck can all help increase the price of your home.
However, they are unlikely to be picked up by online algorithms which can vary significantly. Only a property valuer's hands on approach can properly assess their value.
A professional valuation will help to clarify your starting point price-wise and if you have already received an agent's appraisal, it will reveal if their recommended sale price deviates too much from a more expert actual valuation.
5. PROFESSIONAL PROPERTY VALUATIONS - GREATER LEVERAGE FOR PRICE NEGOTIATION
A registered valuation will provide you and your real estate agent with more confidence and leverage when it comes to negotiating the price of your home. What can potentially be gained with an accurate and full valuation may equate to many tens of thousands of dollars, in some cases for higher priced homes it can be hundreds of thousands.
Getting a full valuation only after your property has sat unsold for months on end is the wrong way to go about it because much of the buyer interest has come and gone at the beginning of your campaign.
The first day your property goes live online almost always attracts the highest number of viewers of any other day. Use Day One to your advantage - you can see the impact it has in the following link:
With easy access to home valuation information online, buyers are savvier about house prices, so if you start your property sale with an unrealistic sale price, you risk losing what might be your most viable buyers.
We believe it is best to use a vetted real estate agent who has proven valuation expertise, rather than using a property agent who over-promises and under-delivers. If the agent's sale price recommendation sounds too good to be true, it probably is.
6. HOME STAGING CAN MARKEDLY INFLUENCE YOUR SALE PRICE
It has been well proven that Home Staging is one of the cheapest, most effective ways of achieving an optimum sale price. Real estate agents often comment that they believe this can add 10-15% onto the expected sale price of a house.
Home Staging using your existing furnishings or hiring furniture for an empty home is one of the most effective, low-cost ways to help elevate a buyer's perception of value.
Home staging impacts in the following ways:
- It makes a property stand out from competing listings in your price range and location
- Wow factor attracts higher volumes of viewers to open homes or private viewings
- It optimises the perception of value to buyers
- It often attracts multiple offers and helps to sell in half the average sale time frame for the area
Buyer competition is the ultimate situation because it enables a real estate agent to negotiate upwards, rather than downwards. It can help to generate a better than expected sale price. Many of our client reviews confirm this.
RULE OF THUMB FOR PRICING A HOUSE FOR SALE
We are of the opinion that free real estate appraisals from vetted agents, registered valuations and preparing your house for sale are the three most reliable and least risky methods for achieving the very best sale price for your home. Chat to us first.
Article updated September 10, 2020 | By Trish Willis