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Debunking Seller’s Myths: “I want to price my house above Fair Market Value.”

My neighbor just sold his house for X price, so I should be able to sell mine for substantially more.

Many home sellers make this mistake only because they have not yet been educated on how the process of determining Fair Market Value (FMV) works when it comes to pricing their home for sale. When we help home sellers price their home for sale, we take into account many factors in what we call a Comparative Market Analysis (CMA). The CMA helps us and the seller determine their home’s value using recently sold comparable homes in the area. We also can assess fair market value based on some of the amenities the home has that perhaps other sold homes have not, but even still, one must remember that amenities and upgrades can still be subject to buyer’s tastes.

There is a formula that actually works when pricing your home for sale. The strategy in any real estate listing is to drive as many potential buyers to your home as possible. By pricing your home AT OR SLIGHTLY BELOW fair market value, you will drive more potential buyers to preview your home.

BUT…I don’t want to sell my house below fair market value!

We’re not saying you HAVE to sell your price at below fair market value. You have total control over any final offers that come from potential buyers of your property. By driving more buyers to your property using this strategy, you effectively may receive more than one offer at a time, which gives you more control in the negotiating and counter-offer process. As you can see from the chart below, the more aggressively you price your home, the more potential buyers will be attracted. The more potential buyers come through your home, the more potential offers you may receive. The more offers you receive, the more control you have in setting your sale price in the counter-offer process. Competition drives sales prices upward.

We work diligently with our sellers and ultimately, they make the final decisions regarding their property. However, we have the tools, education and experience to sell your home quickly and for the best price possible. Learn more by going to http://bringingyouhomescv.com, or by calling us direct at 661-290-3802.

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