Selling Strategies for More Money
How To Get The Most Money When Selling Your House
Every homeowner wants to maximize their financial reward when selling their home. But how do you do that? Here are two strategies to help get the highest price possible.
1. Price it a LITTLE LOW
This may seem counter-intuitive. However, let’s look at this concept. Many homeowners think pricing their home a little OVER market value will leave room for negotiation. In reality, this just dramatically lessens the demand for your house (see chart below).
Instead of the seller trying to ‘win’ the negotiation with one buyer, they should price it so that demand for the home is maximized. This way, the seller will not be fighting with a buyer over the price, but instead will have multiple buyers fighting with each other over the house.
Realtor.com gives this advice:
“Aim to price your property at or just slightly below the going rate. Today’s buyers are highly informed, so if they sense they’re getting a deal, they’re likely to bid up a property that’s slightly underpriced, especially in areas with low inventory.”
2. Use a Real Estate Professional
This may also seem counter-intuitive. The seller may think they would net more money if they didn’t have to pay a real estate commission. With this being said, studies have shown that homes typically sell for more money when handled by a real estate professional.
Research posted by the Economists’ Outlook Blog revealed that:
“The median selling price for all FSBO homes was $210,000 last year. When the buyer knew the seller in FSBO sales, the number sinks to the median selling price of $151,900. However, homes that were sold with the assistance of an agent had a median selling price of $249,000 – nearly $40,000 more for the typical home sale.”
Real Estate Bottom Line
Price your house at or slightly below the current market value and hire a professional. That will guarantee you maximize the price you get for your house.
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