Setting a good price for your property is a crucial financial decision.
The goal is to sell your property
on your own timeline, without underestimating its value. But many houseowners find it daunting to pick a price, especially if they have little experience with navigating the property market.
Here are some tips that will help you find the right price for your situation.
Don’t Go into Extremes
Choosing an overly high price has some serious downsides. For instance, you may end up with a long and unproductive negotiation period, as serious buyers who know about the usual prices in the area will scroll past your advertisement.
On the other hand, low prices don’t always guarantee a quick or successful sale. You lose profits, and many possible buyers will assume the property requires repairs.
… But Match the Price to the Circumstances
After you discover the real value of the property, there are a few options to consider.
Are you in a hurry to sell? If so, lowering the price slightly can be a good approach. The same applies to sellers who want to avoid negotiations because they prefer to deal with potential clients as little as possible.
On the other hand, you can also start at a fairly high price and prepare to negotiate. You may get lucky and find buyers who are willing to pay extra because they love the property. If not, you can agree to lower the price by 5-10%.
Your selling method will also have an impact on the price.
If you’re planning to put your property on an online auction, you may want to start at a low price. But outside of auctions, it’s better to aim high. If you’re using ads to sell your house online in the UK
, you should know that negotiation is presumed unless you mention that the price is final.
Don’t Forget About Stamp Duty and Other Additional Expenses
The price you set needs to cover all your current needs and expenses.
Before everything else, look up how stamp duty is calculated. Set a budget for solicitors, estate agents, real estate photographers, and many other professionals who contribute to the sales process. Don’t forget to factor in moving expenses as well.
Get Help with Valuation
There are online resources you can use to research property prices in your area. But these aren’t always sufficient, and it’s easy to get lost in the sea of available information. For the majority of people, the best solution is to hire professionals to appraise the property.
Keep in mind that different professionals may get different results.
Every valuation uses the same necessary information, such as the location of the property but the conclusions drawn may differ. For instance, mortgage valuers often undervalue the house to protect their interests.
Hiring local estate agents is the more reliable choice. They can draw from their own experience and give you a fair price.
Ready to Find Out What Your House Is Worth?
If you’re interested in selling a property, you can use online house valuation tools to get an estimate of your property’s value in no time. All you have to do is enter some basic information. At Doorsteps, you can use this feature for free.