Selling Tips: Is Your Home Overpriced?

Selling your home is a deeply personal endeavor, especially if you’ve lived there for a long time.

You poured your heart and soul into your dwelling. You and your family called this place “home.” However, this can give you rose-colored vision about its true value.

In a seller’s market, a home that’s slightly overpriced isn’t necessarily a deal-breaker. When the pickings are slim, buyers don’t have much choice. In a down market, by contrast, overpricing your home can lead to your listing sitting on the market for months.

If the latter scenario sounds familiar, your home may be overpriced. These selling tips can help you figure it out for sure.

How to Tell if Your Home Is Overpriced

To find out if you’re asking for too much money for your listing, take a good hard look at a few different areas. Use the following selling tips to adjust the price accordingly:

1. It’s Been a Few Months with Zero Offers

It’s not always the rule, but soon after listing your home, there should be a buzz of activity. You should get some interest in the form of showings, and even a few offers.

If the offers are competitive, that’s a good sign you’re priced right. If none of this is happening, and it’s been a few months, you may be missing the mark.

2. Your Open Houses Are No-Shows

If nobody shows up for the open houses, that’s a big warning sign your price is too high. Similarly, if people show up but you don’t get any offers, you may be asking for too much money.

3. You Cycled Through Realtors

You may have interviewed a few realtors to find a good fit for selling your home. However, if you cycled through a bunch, only to settle on one who recommended the highest price, that’s a sign you’ve got on those rose-colored glasses.

4. Your House Is Priced Above Comps in the Neighborhood

Your realtor bases your home’s value on how the most recent sales in your neighborhood went. Other factors are involved, but, if you’re priced above similar homes in your area, that’s a red flag.

It’s normal to assume your home has more value because it’s yours, but, unfortunately, it’s faulty logic. This subjective view of your house is hard to break, but it won’t get you any offers.

5. You’re Basing the Price on Incorrect Factors

You have to base your home’s price on the current market value, not what you think it’s worth. It doesn’t matter if you spent a lot of money updating your bathroom or installing a fancy fire pit in your backyard. Some updates, while lovely additions, can be too much – not in sync with what’s expected in your neighborhood.

If this is the case, you’ll need to adjust the price.

Get Objective to Sell Your Home

It can be difficult, but you have to get objective to sell your home. You can no longer think of it as yours, but rather a commodity you need to price smartly. Do this with selling tips, and pricing to sell will get easier.