For Sale By Owner: Step 1 How To Set The Price
There’s no doubt about it, you would probably have to go back to the great depression to find a point where for-sale-by-owner’s have faced more challenges than now. In some parts of the country the present real estate market makes selling your own home a frustrating, scary and even depressing experience.
But the question that most ask is, “Is it still possible?” And I have to sincerely answer yes! You just have to pay real close attention to what you are doing and have your sales strategy mapped out in advance.
Take setting the price for your home. This is usually the first step in selling your own home. Most people look at all of the discounted sales and foreclosures in their market and mistakenly believe that is where the value of their house is going to be.
Take heart. A lot of these sales can’t be used by appraisers to determine the value of your home. Appraisers today are carefully monitored by lenders and others to make sure the value they come up with reflects the true market value for a home in that market.
That means the short sales and foreclosures are not typical of most real estate markets. And in most cases, are not used to determine value, unless of course you are in such a depressed market they are the only homes selling. They are not reflective of a willing buyer and a willing seller entering a transaction.
You need to keep these in mind simply because buyers are attracted to them because of the huge discounts they offer the buyer. But you shouldn’t use them as the sole gauge for where you should set your price.
Spend a little time looking at the homes for sale in your neighborhood and neighborhoods like yours in your area. Check the newspaper for homes for sale. You can even call your local Realtor. They will tell you which homes are being sold at short sale, quick sale or as the result of foreclosure.
Do your homework first, and then price your home. This way you can be reasonably sure you are getting the best price for your home without pricing it out of the market.