There are four pricing strategies a home seller and their Realtor use when pricing their house or condo for sale.
A Smart Move Would Be For You To Understand Which Strategy Is Being Used!
Overpriced:
17.4% of homes on the market in London, Ontario, and the surrounding area are way overpriced. Every seller wants to maximize the amount they receive. They may have an inflated value of what their home is worth because of getting opinions from un-informed advisors and friends and family, having an over-financed house, or having renovated their home to a standard inconsistent with their neighbours.
Somewhat Overpriced:
26.8.8% of the homes on the market in London, Ontario, and the area are somewhat overpriced. These homes sit on the market longer than they should for two reasons: the seller or their Realtor believes that the property is worth more than the market trends, or the seller has left room for negotiating.
Priced Correctly At Market Value:
47.3 %of the homes on the market in London, Ontario, and the area are priced correctly. These wise sellers understand that real estate is part of the supply and demand capitalistic system. They have realistically priced their homes based on a thorough analysis of other homes on the market prepared by a competent and knowledgeable Realtor. These competitively priced homes usually sell in a reasonable time and very close to the asking price or, lately, receive multiple offers and sell for more than the asking price.
Priced Below Market Value:
8.5 %of the homes in London, Ontario, and the area are priced under the market. A quick sale could be the motivator, or a uniformed seller and Realtor not knowing the market!.These homes could attract multiple offers and sell fast, and, at or above, the asking price!
Now What?
As a buyer or a seller, how will you know? The local news, the national news, a know-it-all-all relative, your hair stylist, a talk show host, or heaven forbid someone who bought or sold years ago and is now an expert about prices. A financially strapped Realtor who will tell you anything to get a listing or get you to buy the first thing you see or, worst of all, tell you what you want to hear?
I could tell you to ask me, but that is self-promotion, and how would you know if I am any good or not? Telling ain’t selling! A competent Realtor will have up-to-date data with sold prices, current similar homes on the market, price reductions, the sales price to asking price ratio, square footage prices and hundreds of more resources to advise you on a price range to sell a home or buy one!
