When you are selling, one of the most important decisions is what price to set. It can be a fine balance between the desire to maximise your return to achieve the price that you need to fund your next property versus what will actually make your selling dreams a reality.
You might be under the assumption that your estate agent decides the price you sell for. They don’t. While they can provide guidance, the final decision is down to you.
Ensuring that you determine a competitive asking price that keeps everyone happy and allows you to sell quickly, without prolonged negotiation over pricing is vital. Set it too low and you’ll leave yourself shortchanged. Set it too high and you’ll discourage buyer interest.
At the right level, you’ll maximise buyer interest with a healthy amount of competition that will allow you to achieve the asking price – or at least as close to it as possible.
Use online valuation tools
An easy first step is to use online valuation tools to give you a ballpark sales value. Such valuations make certain assumptions about your property and compare it to neighbouring properties, as well as bringing in local data and sold price data from the Land Registry.
You can get a free instant online valuation of your property using our tool here.
Comparing the local market
Check the prices of properties similar to yours currently on the market. You can do this online through property portals and local estate agent websites, as well as by hitting the streets and checking for yourself. Keep an eye on whether prices are discounted and try to get an idea of final selling prices if you can.
Obtaining professional valuations
Once you have a good idea of a rough selling price then it’s time to call in the experts and get professional valuations from estate agents. They will have a broader local knowledge of what similar properties have sold for and the likely price you can achieve.
It’s good practise to get quotes from several estate agents – three is a good number. Don’t be tempted to go with the highest valuation, however. Choose your estate agent based on a number of factors, including the asking prices they achieve, their speed of sale and their fees. Obtaining a realistic price is crucial.
Adjusting price based on feedback and trends
With the above advice, you will hopefully agree on an asking price that works for everyone. But it’s important not to set your pricing in stone. Markets change quickly and it may be that a price adjustment is necessary to boost interest.
Similarly, viewer feedback may suggest that your pricing is set too high. It may be more beneficial to cut your asking price rather than wait for an interested buyer to negotiate a lower price later in the sales process. Buyers are also likely to open with a below asking price offer but knowing that you have priced realistically will allow you to hold your nerve to achieve your full asking price.
For more information on how we can assist you on your sales journey, please contact one of our branches in Essex, London or Hertfordshire today. We also offer a free and instant online valuation to give you an idea of how much your home could be worth on the current market.
