Establishing a Realistic Selling Price.
Perhaps the most important question facing you is the price you should ask for your property. You certainly do not want to sell too cheaply, nor do you want to prevent it from being sold by overpricing.
Points to consider:
In simple terms, the price your property will sell for is determined by what someone is prepared to pay. This is determined by recent sales in the area, competition properties currently for sale and the way your property is marketed. Ultimately, the end result is determined by how well your chosen agent uses their resources and skills in maximising the price achieved for your property, with consideration of your requirements with respect of time frame and risk. Sometimes fixing a price can also limit the maximum price achievable.
Overpricing is the surest way to kill a sale because the majority of buyers are afraid to make an offer that is too far away from the asking price. Properties that sell quickest are usually those listed close to the market price. Overpriced properties that remain on the market for a long time usually only sell when there has been a substantial reduction in their price.
As professional Real Estate Agents, we continually negotiate. Every sale price of every property that we have successfully sold has been determined by the buyer, and therefore the buyer will ultimately determine your “true market value”. Again, having the right Real Estate Agent there negotiating on your behalf is vital.
Our role as your agent is to provide you with a current market estimate, not a valuation. This is done by researching the activity of recent sales in your area and also taking into consideration your competition’s properties currently on the market for sale.
Selecting the correct method of sale for your property
Traditional Method of Sale
The Traditional Sale is also referred to and known as “Private Treaty” and is a commonly used method of sale in the residential market. We understand that people are generally more comfortable with this method of sale. In most cases, a fixed priced is advertised to the market allowing a negotiation process to determine the sales price and sale conditions.Sale by Auction
Sale by Auction is a method where the property is introduced to buyers who then provide feedback on the sale price that reflects the current market value. The auction method is a 3 step selling process and the property may sell prior to the auction, on auction day or in the weeks after the auction.
There are no advantages for anybody in an open listing. Good agents focus on selling the properties exclusively listed with them. Typically, open listings will miss out on “hot buyers”. You want one good agent committed 100% to sell your property, not three or four who “will keep it in mind”.