As you’re probably aware, the list price you set for your Lethbridge home has an impact on how quickly it sells — and how much you earn on the sale. What you may not realize is just how significantly the wrong pricing strategy can impact your financial position, and your sanity.
Consider the following 2 scenarios…
You price your property way above current market value for Lethbridge. As a result, very few buyers request showings, and not just because the home is now priced beyond their budget. If the homebuyer is working with an agent (and most do), he or she has access to the same market data that you did when you listed your house.
The buyers who do take a chance and book a showing, feel confused by the high price tag (and may even be suspicious). They may wonder, “What’s going on?” or “Is this homeowner serious about selling?” In this scenario, your home could languish on the market for months. You might even have to lower the price dramatically to reignite interest.
After months on the market without a qualified offer, you will grow increasingly worried as buyers begin to ignore the listing and showing requests come to a standstill. No showings = no offers!
You price your property just a couple of percentage points lower than what is necessary to gain the interest of qualified buyers. That might not seem like much of a problem. How much can a couple of percentage points matter? Those points matter a lot. On a $400,000 property, pricing your home just 2% lower than necessary could cost you $8,000 on the sale. That’s a serious amount of money!
But more to the point, under pricing may cause buyers to believe the home is in distress or worse, that you’re desperate. To try and increase the list price at that point will create further confusion.
A confused buyer won’t buy!
Most homebuyers “can feel it” when they’ve found the home of their dreams. This happens within a minute or two of walking through the front door. (I’ve seen this countless times!) However, if the asking price is out of whack with the market, the buyer will start to mentally back away from the property as he or she struggles to logically align price with value.
TIP: Homebuyers always have the option to “keep looking.”
If you’re unsure about the best price strategy to sell your home in Lethbridge, get in touch! I will help you optimize market value and attract a qualified buyer willing to put pen to paper, as quickly as possible. And THAT is a winning strategy that will save you time, money and heartache!