The temptation is to price our home in a lofty bracket when going to market. However, this can be counterproductive, often resulting in offers lower than what our home is worth against other current house prices in the market.

Have you ever purchased a home? When you go to the large sites like realestate.com.au or domain.com.au to begin your search, what are the key pieces of information they use to narrow your search?

1.Suburbs

Current house prices Hilton Parkes

2.Bedrooms

3.PRICE (minimum & maximum)

If your home is priced higher than other current house prices in the market, this will result in two outcomes:

1. Your home will be shown up against other properties with larger land, more modern features, or superior locations. Essentially it’s a David vs. Goliath scenario, where the other homes will seem like they present much more value in comparison.

2. Your home will not be shown to the correct target market and you will not receive offers. Your home will be the one with thousands of views but no interest. At this point, the only option is to review your price point. Some buyers (not all) will see a large number of views plus the reduction in price as an opportunity to submit a low offer, as the property has been on the market for a certain number of days, and not yet sold. The stale loaf of bread principle. Just imagine a fresh, warm loaf of bread; it’s a very attractive proposition to most people.

When we price our home correctly in comparison to current house prices in our area, it too is a very attractive proposition in the marketplace. When we overprice initially and then reduced due to lack of interest, our home becomes slightly stale and less desirable. The damaged goods principle The same is true for underpricing. We must go to market at a price that adequately reflects the value of our home.

Have you ever been shopping for an item, say a suit or a handbag, and the price has been heavily reduced?

What is your first thought?

Maybe the suit has a quality problem, which you will find out about later, or maybe it has been tried on by many for tailoring, leaving holes from pinning.

Maybe the bag is, in fact, a fake? Or maybe it too has been used and then returned.

The old saying often rings true… cheap things are never good and good things are never cheap!

Maybe you have seen a cheap property online, only to do a bit more research and find that it will need to be heavily renovated/demolished (for some this is a great option, but it is off-putting to many). Here are three main advantages in pricing your property to adequately reflect it’s valued against other current house prices:

1.Competition: If priced correctly your home may attract multiple offers, creating competition.

2.Time on market: Your home is likely to sell within a short period if it is priced correctly for the market.

3.More money in your bank account: Pricing correctly and fielding offers put you in a position of power in negotiation. This often results in more money in your bank account.

How do you know what is the correct price to start marketing your home at?

You can compare recent sales in the area, but many sales have nuances, which affect the sale price. We have a team of sales people who have an excellent grasp on current house prices.

We guarantee that your home will sell for a price you are happy with, or you pay us nothing.

If we can help with marketing your home, feel free to contact us to arrange a free appraisal.