There is a well-known saying in the real estate field: in order to succeed in life, you need to be the first child, the second spouse or the third realtor. Like with all sayings, there is also some kind of anecdotic truth in the statement and the real estate agents who deal with listings of home sellers will attest it.
Are you making an informed choice?
While it is perfectly natural for a home seller to expect to earn as much money as possible from the transaction, making an uninformed decision about the selling price is a huge mistake. If spot on, a higher selling price of the property means more financial opportunities. On the other hand, an overinflated price will not bring any bids and in the end, the home seller will be forced to give up the house for significantly lesser cash.
How to price your property
A far better approach to correctly estimating the sum that your property is worth implies becoming familiar with the factors and variables that matter in real estate. You could hire an appraiser or you can come up with an educated price based on real estate market movements, similar properties and upgrades included (or that will be included in the near future). As you can see, this technique comprises of an educated opinion and practically, you cannot talk about a hard and fast price tag for the house.
One of the common concerns of home sellers is listing their property too low. However, as any professional real estate agent will inform you, there is no such thing as listing a property with a price under the market value. In the eventuality that you will be forced to list your home at a suboptimal price, then the multitude of offers you will receive will usually drive up the price higher and towards the real market value of the property. The only real problem occurs when the price listed for the property is excessively high.
A real estate agent is your beacon of light!
Given these facts to digest, inexperienced home sellers should look for an honest real estate agent who can present them the reality of the situation, be it good or bad. If you are choosing an agent solely based on the price that he thinks your house is worth, then you will be making a huge mistake and you may lose substantial amounts of cash. Contrary to the common belief, real estate agents do not select the prices of properties, but rather guide their clients into making the right choice on their own.
Nonetheless, the realtor can provide very useful advice, which will generally help clients attain a higher selling price. For instance, one classic method of getting a better offer for a house entails investing in upgrades (especially for the kitchen and bathroom) and making sure everything all fixtures and appliances are functional. Serious buyers who are interested in the property will usually bring in a home inspector who will give a final verdict on the condition of the house and potentially required investments.
Lastly, simply by working with a professional real estate agent, you could obtain a higher bid for your property, as these professionals have amazing negotiating skills who will present your case in the best possible light.