Selling your home can be difficult, so it is essential to focus on the basics. When you do things correctly, you increase the likelihood of enjoying a valid sale. There are many parts to the sales process, but you cannot overlook the importance of valuing your home before selling.
If your house has too low a value, you will generate a lot of interest, but you will miss out on money. If you need to sell your home quickly, this may be a suitable strategy. However, most people want to generate as much money from the sales process as they can, so this isn’t a strategy that is suitable for every vendor.
If your house has too high a value, you may not generate any interest at all. If no one looks at your property listing, it doesn’t matter how appealing the property is, no one will develop an interest in your house.
Therefore, you need to make sure your home is valued correctly and then priced accordingly.Remember buyers use minimum and maximum price searchesWith buyers using online property portals to search for homes, they set minimum and maximum price parameters.
When the price of the property is outside of these parameters, the buyer doesn’t see your home, and you potentially miss engaging with a prospective buyer. Setting a suitable price at the start of the sales process is essential for all vendors.
A recent investigation by The Times into estate agents further underlines the importance of choosing an agent you trust, and in the importance of valuing property correctly. The study examined 200,000 homes which were listed online, and leading agencies were found to have over-valued property.
Companies like Foxtons, Hamptons International and Chancellors were cited as setting too high a price for houses.Agents want to win instructionsThe national average for homes where the price fell was 32%, but the study showed 60% of Foxton properties saw their price reduced.
There is a lot of debate about why a firm would act in this manner, and it isn’t an act to create higher commission payments. The sales price sets the commission, so if a house has an initially high value which drops before the sale, the lower sales price acts as the basis for commission.However, there is no denying that inflated valuation wins instructions.
If a vendor has values from three estate agents and one of these values is significantly higher than the other two, it is human nature to choose the highest value. This value is the one that would provide the vendor with the best possible return, which creates more freedom with the next house move.
Therefore, the vendor would choose this estate agent, but as the study shows, the sales price may not be any better with this agent.If you are looking to sell your house, it is vital that it is valued correctly.
At Bond Oxborough Phillips, you can rely on us to provide you with a dependable and reliable standard of service. No matter what your next move is, contact us and we will be more than happy to assist you.