How Much is Your House Worth vs. How Much You Keep at Sale
It can be difficult to know what to price your home at, especially when you don’t know what extraneous costs you’ll encounter while trying to sell it. There are many factors that go into your final listing price. While you should certainly take all of these factors and the advice of your real estate agent into account, the final decision is yours. Make sure you are well informed before you sell your home.
Fair Market Value
Fair market value may be very similar to appraised value, but is based off of the supply and demand of your local housing market. It is a reasonable price assigned to your home with the sale price of recently sold homes in mind. The only reason your home should be priced over the fair market value is if it has special features like vintage architecture, a pool, or something equally valuable, even if that means making less of a profit.
Listing Price
The last thing you want to do is base the price of your home on what you originally paid for it, or how much you still owe on the mortgage. Odds are, the housing market has changed since you bought the home. If the value of your home has gone down, but you keep the asking price high, it is never going to sell. No one wants to overpay for a home, especially if it looks the the housing market isn’t improving. Sometimes, for the sake of selling your home you need to be realistic in your pricing. The home may be invaluable to you, but potential buyers won’t experience the same sentimentality.
Extra Fees
Selling your home can cost a pretty penny. Even though you make thousands in the sale, there are many fees that need to be covered. There’s the commission for your realtor, the price of paying off your mortgage, the optional price of staging your home for open houses, and sometimes even a tax to transfer you home into the name of the buyer. Make sure that you are careful with all of these fees, or you’ll end up with nothing after the sale. Make sure all fees are accounted for when you price your home.
Cash Sale
Believe it or not, a cash sale on a house is often much quicker and easier that a sale that requires a loan. People who want to pay cash for a home are usually more committed and less likely to pull out of a sale at the last second. People buying is cash are also agreeing to buy the home as is. This mean that your don’t have to do the same repairs and renovations that you would if the buyers weren’t paying cash. This saves you money from the sale that you would have to spend otherwise.
Are you ready to sell you home? We at Blue Marble Properties are ready to make that happen with our years of real estate experience. Contact us today to learn more.