Question: How do you know if you’ve over-priced your home? How often would one expect to show the home if its priced correctly (not too high and not too low)?
A well priced listing will show between 2-4 times a week, normally resulting in at least 1-2 offers within the first 30 days. This obviously is not an exact science, and will differ depending on how broad or narrow the market is for that particular property. However, for the “average” house that appeals to the “average” homebuyer, this is a good rule of thumb. More activity than this and you might be under-priced, less activity than this and you are probably over-priced.
Now you might be wondering “what about the market conditions, buyer’s market or seller’s market”. As far as I’m concerned, this rule of thumb still applies despite supply and demand. But “expert pricing” is your tool for controlling the activity.
Expert pricing is one of three main keys to getting a home sold. It requires accurate data, experience, and a firm understanding of what the market demands are for the specific geographic area.
Last thought on pricing: It’s important to price your home accurately from the beginning. As the first 30 days that your home is on the market is it’s best time to shine. The more time that passes, the more likely you will end up with less than if you would have priced properly up-front.
The other two main factors in getting a home sold are presentation and exposure. see post “re: Why isn’t my home selling?” for more on this topic.
Another good question…thanks Nathan.
Thanks. =)
Based on this, it sounds like I’m on the right track so far.