Pricing Real Estate

Determining price is the most critical task in preparing your house for sale. Potential buyers and buyer agents will use your asking (listing) price to evaluate your selling intention. Real estate that is "actively priced" (within 5% of actual market value) receive timely and serious responses from prospective buyers. Real estate "over-priced" will not. You decide the price at which to sell your home, but we have tools to help you determine an effective, "active" pricing plan that gets results.

The price of your home is subject to many considerations:

1. Location

We have a great advantage here in that the Seattle area is considered a very desirable location for buyers. But, other factors that affect price are proximity to stores, schools, parks, views, waterfront and other amenities, all affect the price.

2. Condition of your home

A house in good condition will sell for more than a comparable house that appears worn and poorly maintained. This is more important than ever before with the popularity of the numerous home improvement shows these days on television. Staging a home has even emerged as a growing business. We can help you with some ideas on how to prepare your home.

3. Economic conditions

If the real estate market is vibrant and houses sell in a few days, prices rise. If the market slows down and houses stay on the market for weeks or months, prices fall. It is important to set your price based on the strength of the market. When buyers are active, prices tend to go up. When buyers are hard to find, prices tend to drop. We will give you an analysis of the current market to help you determine how current conditions will affect your sale.

4. Number of buyers and homes in the market

The greater the supply of buyers, the more demand there is for homes. This high demand coupled with a low supply of homes on the market, over time, will drive prices up (seller's market). A low demand of buyers coupled with a large supply of homes on the market will bring prices down (buyer's market). In our diverse Seattle area market, many areas are in a seller's market with the large number of buyers taking advantage of low interest rates--one of the reasons the prices in this area have gone up dramatically.

5. Professional marketing

A home with an effective marketing strategy is more likely to sell at a better price than one that is not. Marketing is a major component of our service to you as your real estate agent. Effective marketing goes well beyond simply putting up a sign and printing some simple flyers, our comprehensive marketing strategy uses a variety of methods and modern technology to capture the interests of interested buyers locally and all over the United States.

7. Home improvements/renovations

Certain improvements and renovations affect price and salability more than others. For example, when it comes time to sell, renovated kitchens and bathrooms traditionally show a good return on investment. Buyers really pay attention to these rooms. The quality or workmanship and materials are also important, as is the age of the renovation. Structural work such as roofs, foundations, windows, heating systems and decks, as well as appliances, should be well maintained and in good repair to achieve the maximum sale price for your home.

8. Motivation to sell

How quickly you want to sell can play a key role in the price you ask. If you need to sell quickly because of a work transfer or a change in personal circumstances, you may want to consider a more attractive buyer's price.

9. The calendar

There is really no bad time to sell, but there are traditionally some more active seasons than others. Many people list their homes for sale in the spring and summer, and the increased market activity spurs buyers to act. In the late fall and winter there are generally fewer homes available for sale, so that the ones that are for sale get more attention from buyers.

As a seller, think back to when you were buying your home. Think what you were interested in knowing. You wanted to visit and compare prices with other homes for sale in the area. You wanted to know how long the home was on the market. You wanted to know what else had recently sold and what didn't. Remember, in this information age, buyers are informed, savvy shoppers.