The Number One Mistake Home Sellers Make
Selling a house in Costa Mesa can be relatively easy… but make sure you avoid the number one mistake home sellers make!It should be no surprise that what we are talking about is: PRICING!Listing a home for the correct price will determine whether it will linger on the market for a long time or it will find serious buyers in in the very first days.Having a great marketing plan, a fun open house and the best real estate agent in town won’t result in offers if the home is overpriced.For this reason, an important decision such as pricing a home should always be determined by an experienced real estate agent who’s really familiar with the area and knows the prices of all the comparable floor plans in the neighborhood.The DIY pricing method based on a quick peak online at Zillow’s ‘Zestimates’ can mislead the seller by not taking into account the external nuances of the market that a computer algorithm simply can’t grab.Here are the most common mistakes sellers make when pricing a house:
- Pricing the Home High to Leave Room for Negotiation:
Sometimes sellers do this expecting that buyers will offer less than the house is listed for. The result is that if a home is overpriced, buyers will not look at it and the seller won’t have anything to negotiate! Or, even worse, the buyers and their agents will use it as a 'comparison' to the other homes and completely ignore the overpriced one.
- Listing the house with a Real Estate Agent who suggests the highest price:
The number of real estate agents in Costa Mesa area is nearly 2,000. Like any other industry, there are professionals who are great at what they do, professionals who are average, and professionals that are…well, not that professional!Some agents will tell a seller their house is worth an improbable amount of money just to get the listing.Chose an agent that knows the nuances of your neighborhood. Hiring a friend of Aunt Tilly from San Diego will simply hinder the sale, as this agent will not understand the past sales and won't be able to negotiate effectively for the buyer.
- Deciding a price before a skilled Real Estate Agent presents a comparative market analysis:
Pricing a house is not as simple as checking the value estimated on Zillow. Many things need to be taken into account when pricing a home.A competent real estate agent will analyze the area and complete a comparative market analysis before suggesting a price. Not only they will help you determine a realistic listing price, they will also reduce the chance that the home will not appraise when you apply for a loan!
- Pricing the home high because “you are not in a rush”
Sometimes sellers use the fact they are “not in a hurry” to justify an overpriced listing.As a result, the house will sit on the market for a long time and develop a ‘bad reputation’. Potential buyers will start wondering: ‘Why has this house been on the market for so long?’. If many other buyers before them stepped away from that house, they will think there’s something wrong with it.To avoid pricing mistakes and give your home the best chance to have qualified showings within the very first days on the market, give us a call 714-540-7355 or email us at valerie@torellirealty.com! ...And if you are thinking of selling a house in Costa Mesa or any of the surrounding Orange County areas, don't forget to check out our Home Value Tool!We have been in the business for the last 30 years and can help you determine the best price to market your home!