The very first thing that you should consider while selling your “For Sale by Owner” home is pricing the property correctly.
To help you with that, we have some tips shared that you can follow –
Study past sales
Take your time and study the recent sale statistics for homes that are in your area as well as areas that are similar to yours.
This process will give you a clear understanding of more realistic market value.
Check comparable sales and listings
Look at all the similar homes that are listed or sold in the same neighborhood over the last three months.
The list should have all the homes that are within a ½ mile or a ¼ mile.
Find your comps
You can make use of the online tools that are available to buyers so that you can learn all you can about your competition.
This way, you will get to have expertise in the market. Also, you may find comps that your agent missed.
Think like a buyer
If you were a buyer, what are the things that you would have valued the most in a home? Is it an updated kitchen or a view? Your buyers are going to appreciate the same things as well. So adjust your price accordingly.
Withdrawn and expired listings
You need to look for reasons why these homes failed to sell and what are the common factors that they share.
This way, you can take preventive measures so that your home does not become an expired listing.
Price it so it will be rendering in real estate searches
The majority of buyers tell their agents that they want a four-bedroom home in a particular neighborhood under $600k (or some other amount).
The agent then sets up a search using an automated buyer search for properties under $600k. So if you advertise a property for sale at $610k, there is a good chance that the buyer will miss it. To prevent this problem, you need to price it carefully.
Zillow Zestimates – a word of caution
Zestimates only realize how your home compares in size and location.
Zillow has zero idea how your home stacks up against the home that just sold around the corner.
This could be a BIG deal if you have recently remodeled your kitchen and installed a new roof and air conditioner. Zestimates are admittedly not accurate enough to use for determining a fair market value of your house according to Zillow’s own disclaimer.
Study the table below to see why….