4 steps to help you set a sale price

Obviously you want as much cash for your house as you can get, and that’s fair enough.

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But, unless someone falls uncontrollably in love with your home and can’t live without it no matter what the price, it’s also time to get real and face the market. The price you set depends significantly on the current mood of your local real estate market as much as it does on the property itself and is crucial for a successful and timely sale.

Setting a price is arguably one of the most important details for you to consider when putting your house up for sale. Even if you don’t advertise an actual figure during your initial marketing campaign and instead ask for offers, or ‘by negotiation’, you’ll need a bottom-line figure in your mind that you won’t sell below.

  • If it’s too high, buyers will be put off altogether and your house will be on the market for so long that it’ll go stale, with no interest.
  • If it’s too low, you can’t negotiate up again; someone will get an awesome bargain but you’ll be left out of pocket.

Also keep in mind what conditions you’ll accept from potential buyers, and whether a slightly lower offer that comes with no strings attached could be better in your situation.

  1. As a first step, get an estimate of your home’s current and calculated market value using Property Insights. It’s free as is based on sales of similar properties and RVs.

  2. Shortlist a few real estate agents and ask for their market appraisals, and what strategy they recommend to sell your property. Not only will it give you a valuable perspective from pros on the ground, but it’ll also help you to choose an agent if you’re not selling privately.

  3. Then head out on the road for some detective work of your own:
    • Explore properties that are already on the market and are comparable to yours
    • Compare their asking prices.
    • What sets your house apart from those houses, and what’s similar?
    • Do drive-bys and even go to their open homes to see how they compare to your property.
    • See what they’re doing well for their open homes that you could also do.
    • Also try to find out sales prices of similar properties that have sold recently, how long they were on the market for and how many offers they had.

  4. Then work out also how much you actually need your property to sell for. If you’ve bought another property, is there a minimum you absolutely have to sell yours for? Don’t forget to add in the costs of an agent, marketing, staging and moving home.

This information is not intended as a complete guide, as it doesn’t consider your individual needs or financial situation. Trade Me accepts no responsibility or liability for any inaccuracies or omissions in the content. Always obtain independent legal advice before buying or selling property.