How you debut your house really matters – so how should you price your home

Hoping that a buyer will overpay for your home isn't a strategy, it’s a wish. It is also self defeating. As a seller, you naturally want to get ‘top dollar’. The chances are also good that you have a deep emotional attachment to your home. Combined, these factors often lead sellers to insist on a high price. Elaine Chetty, Licensee of Seeff Richards Bay, outlines why ‘testing the waters’ can actually hurt a home’s value in the long run. “Our analysis of website activity shows that new listings get an average of 50-60 page views on the day that they hit the market. Houses with price drops get only 15-20 views. “First impressions matter. If your home is overpriced when people first see it, chances are good that they won’t look at it again. We estimate that a house listed for sale gets 3.5 times more web traffic in the first 7 days than it does one month later. After the first 3 days web traffic to existing listings slows by more than 65%. Within 3 weeks it’s down by 85%. “In short, your home’s debut is its best chance to shine. An overpriced property is more likely to be ignored. In this current market, don’t expect a rush of lower offers either; people won’t assume that you’re willing to negotiate. “By the time you lower the price, your home will have the taint of being a ‘languisher’, stuck on the market. Fair or not, a home fresh on the market at R1.2m looks different than one reduced from R1.5m to R1.2m. “Even if objectively it’s a good home, if it’s been on the market for a while, many buyers will wonder if there’s something wrong with it. Once that stigma is there, it is going to be hard for a seller to get full asking price. If there has already been a price cut, savvy buyers will start circling. This is not a good situation for sellers to be in. “Remember, most buyers will look at your home on the first day it comes to market – so make that impression count by pricing right. You’ll get more and better offers that way, and you’ll get them sooner. Ensure that you get solid advice from your estate agent to guide you on the ideal price to ask for your property, given the recent sales made in your area.” Contact Elaine Chetty of Seeff Richards Bay on 083 513 5559; (O) 035 789 0490/1, email elainec@seeff.com
09 Mar 2016
Author Seeff