Effective pricing strategies that will get your NJ real estate sold quickly
The value of your home can be determined by how much a purchaser is willing to pay within a rational period of time. Deciding on an asking price for your home can be a tricky task requiring research and the advice of a NJ Real Estate agent. Being aware of the current condition of the market as well as the comparable home sales in your area can help you get a general idea of home prices. The right price can mean the difference between your home selling in a week and staying on the market for a year.
The following hints can assist you in deciding on the best price for your home:
Learn Local Market Conditions
Knowing the current state of the NJ real estate market is an important aspect of pricing. The market may support buyers, sellers, or both. The main determinant of market quality is figuring out how long it takes comparable homes in your area and price range to sell.
Consider How Long You Will Likely Be on the Market
The most activity your home will receive occurs in its first weeks on the market. This is information available to buyers and plays an important role in their decision. Generally, if your home is average size in a decent location and in good condition, there will be a large pool of potential buyers for it and you will likely sell within a month. If your home is very large or high-end, keep in mind that it will probably take longer to sell as there is a smaller market for that particular type of NJ real estate.
Determine Whether it is a Seller’s or Buyer’s Market
The characteristics of a typical buyers NJ real estate market include a small number of buyers in relation to the number of homes for sale. Low prices often result from this excess of supply over demand. In this soft market, prices should be set on the lower end of the price range of your home. In a seller’s market, the number of buyers is significant in relation to the number of homes for sale. High prices result from this excess of demand over supply and pricing your home a bit above recent sale prices can be the way to go.
Look at the Comparable Sales in Your Area
The best way to find out information pertaining to pricing NJ real estate is to examine recent comparable sales in the area such as active and closed homes. Closed sales are proven prices while current homes for sale indicate the existing movement in pricing. While all homes are unique, a home that is inferior or superior to its neighbors might have a more difficult time selling. Similarly, homes with little or no comparables can have a harder time selling because you are not sure what to price the home at.
Should You Price Yourself High in Anticipation of an Offer?
The answer to this question would be no because you will likely price yourself out of the NJ real estate market. By overpricing your home, you are entering into the price range of other homes that are much nicer and have more to offer than your home. Potential buyers will see your home and pass it up for the bigger home in the more desirable location with better features. When you are priced concurrent to homes in your range, you are a valid competitor and have more of a chance selling faster as opposed to being in the overpriced range.
Use the Price Per Square Foot Formula
The goal of this step is to ultimately determine if the average price per square foot of homes is increasing or decreasing based on trend reports. Keep in mind that square foot values of larger homes are higher and smaller homes are lower.
Pay Attention to Market Feedback
You will be able to see if your home was priced correctly by paying close attention to who is coming to see it. A person viewing your home more than once indicates interest as well as a good pricing strategy on your part. Also, feedback from friends, neighbors and NJ real estate professionals can provide constructive criticism and help you realize things that can be improved for a quicker sale when you cannot realize them. This all leads to an effective pricing strategy and a quick and successful sale.
The real estate market is changing rapidly and expanding into new avenues almost daily. Sometimes it can be very difficult to find the answers you need on a specific topic or issue. In times like these, you need a Real Estate professional who will provide valuable information and trustworthy advice. For more information on NJ real estate, call us today or click here to be connected with one of our top real estate specialists.