Pricing the property is one of the hardest things to do when selling your home For Sale By Owner (FSBO). Pricing your home right, is an important first step. A step you must do with out the benefit of a realtor.
Today's savvy buyers are very price conscious and will not even make offers if they feel it is over priced.
There are many factors that can affect your bottom line. Like what you own on your mortgage, how much you have spent in home improvements over the years and what the market in your area is doing right now. Many times you need to make a profit on the sale to purchase your new residence.
The fact is no matter how much sweat, tears, money and mortgage you put in your property. It does not even matter what you think it should be worth. Your home is only worth what a buyer will pay for it, in other words, what the market will bear. After all, why should a buyer pay more for your home than for a neighbor's home similar size and condition?
But, what is a realistic market price for your home?
Here's how you can quickly determine the price of your home. Look for homes around your area that are for sale that have similar characteristics as your home. Figure out what the average price per square foot is in your area. Also look up online the median price for houses like yours in your area. There are many website like BuyFSBOusa.net that will give the median price for homes that have recently sold in your area.
Once you have the square footage price and the median price, take the average of the two prices and price your house 1% lower then the average. This will attract the best buyers and give you the competitive edge over the competition. If you can get people to compete when buying your house you will get more than FMV.
Make sure you look at all the following details when comparing your house to others in the market
– Square footage
– Number of bathrooms and bedrooms
– Upgraded kitchens and / or baths
– Condition of home and landscaping
Often pricing your home correctly to start with will keep for from, having to pay for renovation or improvements to get your home sold quickly.