Near the end of August, there was an article in the Wall Street Journal about strategies for setting a price on a home sale. There were a number of excellent points. First, that many homeowners have an inflated view of what their home is worth based on current market conditions. Many sellers have a great deal invested in their home, both financially and emotionally. A buyer does not have the same attachment. Second, just because a seller prices his/her home below market value, it is no guarantee that it will lead to a bidding war driving the price up. While that may happen, the odds are not in favor of that event happening. What is the best way to get the highest possible price for your home, then?
Aside from ensuring that the sales price is consistent with area comparables, there are some other basic steps that can be taken prior to the home going on the market that can help to increase interest so that you can get the highest possible price for your home:
- Inspections/Disclosures – Get your Pest & Home inspections done prior to going on the market. Make sure that anyone writing an offer has seen the reports and returns a signed receipt of documents with an offer. This way, the potential buyer will know exactly what work needs to be done and there is less negotiation of the price after an offer is accepted. Also, make sure that all disclosures are included with the packet. This prevents the unnerving 72 hr right of cancellation that kicks in once a buyer receives the TDS, etc.
- Staging – According to recent statistics, a staged property sells approximately 40% faster than the average property. Staging can feel costly, but it is still cheaper than the first price reduction, which is usually around 10% of the price. Staging doesn’t necessarily mean bringing in all new furniture, but it does mean – at a minimum – making sure that kitchen counters are tidy, beds are made and that the home is cleaned on a regular basis in case of any showings. It also means that when there is a showing, a seller should turn on all the lights in the house to make it feel as inviting as possible.
- Professional Photography – This is a must now-a-days. According to a NAR study, 98% of respondents said that pictures were the most useful tool when viewing properties online. The front photo is typically viewed the longest at 20 seconds and is critical in making sure that the rest of the property photos are viewed.
There shouldn’t be anything more important to you as a seller than getting the highest possible price. Making sure that these three key components are involved in the marketing of your property will go a long way toward this end.
Contact me for more information about getting your property ready for sale or for any other real estate needs: (707) 853-0797; richard.peterson@pacunion.com
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Your Napa Valley Home 