Ready to put your property up for sale? One of the first questions that will come to mind will certainly be how much can I sell for?
Determining the appropriate listing price is crucial. By having the right price out the gate you will allow your listing a greater scope of visibility. Buyers commonly filter their searches based on price. If the listing is priced outside of their budget, they might not even see the property until you’ve had to reduce the price in order to fall into their range. At that point, they may see that it has been sitting on the market and wonder if it has any flaws.
An excellent first step in determining what your property might be worth is using a Home Valuation Tool. This online tool uses information from multiple sources to create a real-time home value estimate based on current market trends. While it can provide you a great starting point it is still a good idea to meet with an experienced agent to get the full picture.
Working with an experienced local realtor will give you the upper hand by having access to their insider information on market stats and trends. Plus they will be able to market your property for you.
FACTORS TO DETERMINE PRICE
1. Location
Location plays a huge role in pricing your property. What neighborhood are you in? Where within the neighborhood? What schools are nearest? Are you close to the road? For Colorado, buyers may be wondering how close to popular trails, ski resorts, and rivers.
Each of these components can have a significant impact on your home’s value.
Location can also show us what other properties in your area have sold for. Helping to determine a comparable listing price.
2. How much comparable properties have sold for
When an appraiser looks at your home they will look at sales that have occurred most recently, proximate and similar to the home that you have.
When you meet with an agent, they will provide you with a Comparative Market Analysis Report. This will analyze recently closed sales in your market and compare them to your property to determine a listing price.
3. Condition
Is the property well-maintained or is it more of a “fixer-upper”?
Buyers are typically more drawn to well-maintained properties in good condition.
Still, this doesn’t mean that if your home needs improvements that there aren’t options.
You may determine to make the improvement=s before selling and including those improvement costs within the listing price. Contrarily, you could list it “as is”. Keep in mind that taking this route will most likely impact your appraisal value. Be sure to consult your agent on which option is best for you.
4. Size
Of course, another key factor in determining value is the size. What is the square footage of the home? Number of bedrooms, bathrooms, office space, garage/storage space and outbuildings must be factored in.
How big is the lot size or how many acres do you have? In rural areas it is also important to consider what kind of acreage you have; wooded, mountainous, river/creek access, agricultural?
5. Market Condition
The real estate market is constantly fluctuating. It is vital to understand the current market position. Are you in a sellers, buyers or neutral market? Depending on the state of the market, your agent may advise on a different selling strategy.
In a seller’s market there are more buyers than homes available. This is territory for bidding wars, buyers who waive contingencies, and homes that go for higher than listed as.
In the opposite buyer’s market, there are more homes on the market than buyers. Sellers might need to drop prices in order to attract interested buyers. It is more common here to have to make concessions, like paying part of closing costs, to get the deal done.
In a neutral market, you will see a balanced supply of homes with buyer demand.
Time to get started? Contact an experienced local agent here.
With Blue Sky Homes and Land you will be guided by our experienced and proven agents. Each agent is here to advocate for you. Each certified Realtor will negotiate for your terms and battle for your best price. Together, you can thoroughly dissect the market and come to a reasonable and true value of your home.
Contact a local Colorado Realtor today.
Just curious? Check how much your property is worth.
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