How to set your home's list price
Time, value and flexibility count.
The list price of your home determines not only your profit, but how long your home will be on the market. The goal is to find the top price that the market will bear, but won’t leave profits on the table – that’s getting top dollar. To achieve that, consider this:
Time. Too much time on the market, and your house becomes ‘old news’ to buyers. The longer you’re on the market, the more daring buyers will be with their offer price. Studies show that the longer a house stays on the market, the less likely it is to sell for the original asking price. Our goal is getting top dollar, so we’ll want to think carefully about setting a list price that is not so high that buyers will stay away – home buyers do know the market value; after all, they’re in the market actively looking at your competition.
List price vs Value: The market sets the current value of your home. It can’t be priced by considering how much you paid for it, how much money you have into it, or how much you love it. Buyers may not have the same taste or needs.
Remain flexible whenever possible: Needs and contingencies, such as your desired move date, are understandable and necessary. When there are too many terms, however, it could cause you to lose the sale when a buyer can meet your top dollar price, but not all of your contingencies.