Pricing your House To Sell

Your asking price is likely the most difficult - and crucial - decision you'll
make when you put your house on the market. Ask too little and you risk leaving
money on the table unnecessarily. Ask too much and you may scare off potential
buyers. Most Sellers set their initial asking price at an amount somewhat higher
than they are actually willing to accept, fully expecting a buyer to open the
bidding with a lesser amount.

While price is the most frequently negotiated item in any home sale, you may
be able to creatively provide financial value to your buyer - without lowering
the price alone.

1. major appliances such as your stove, fridge, dishwasher and microwave offer
   good negotiating power - while you'll likely be including some of them in
   your asking price, consider excluding some from the listing (the washer and
   dryer perhaps) to use as a future bargaining chip;


2. window treatments, air conditioners, central vac, and ceiling fans are other
   extras that might entice your buyer and can be easily included later on in
   a counter-offer;


3. study your buyers' personal situation and think of ingenious ways to sweeten
   the offer that makes sense for both of you - if they're first time buyers
   and you are moving to a condo, include the lawn mower and gardening tools
   (or other items you may be planning to dispose of) in your next counter-offer;
   


4. if your existing mortgage rate is lower than current market rates and your
   mortgage is assumable, consider offering it to your buyers for savings they
   can count on after the closing - they'll enjoy monthly savings over the remainder
   of the mortgage term;

If you are serious about selling, don't price yourself out of the market. Overpricing
is, by far, the most common error sellers make. Although you might think of
it as "leaving room for negotiation", you might only scare off potential buyers
who could pass over it for more reasonably priced homes. They can't buy it if
they don't see it, so get them in the door. Better to stand firm on a lower
asking price than risk discouraging buyers and creating a stale selling environment.
To help you determine your asking price, contact a CRA (Certified Residential
Appraiser) for a full market analysis and property appraisal and then set your
asking price accordingly.

© February, 2004 - Xstream Realty Incorporated