testing the market

Firstly, your home is not necessarily worth what you think it is. The truth is that every property is worth precisely what a serious buyer is prepared to pay for it and that’s why pricing is the most difficult part of the whole selling process to get right. 

Now, of course we all want to get the best possible price for our homes so it’s always tempting to err on the optimistic side. After all, years ago, it wasn’t unknown for property to sell for substantially more than its original valuation. However, those days are gone and going to market at an inflated price is not a good idea – particularly now, given that there are fewer buyers than then and those that are in the market are understandably price conscious. 

In the current climate, it’s not even worth taking a punt, just in case there’s someone out there who’s prepared to pay a bit over the odds for his or her dream home. By doing so, you could actually be spoiling your best chance of getting a sale – and that’s certainly not something you want to risk doing in today’s market. Statistics show that properties invariably attract the most viewings during their first few weeks on the market and that’s also generally the time when the best offers are made. Thereafter, buyer interest declines. Even when prices are later reduced, it can be difficult to persuade buyers to reconsider a property they have already rejected. 

You might like to consider asking your agent about marketing your home on the basis of ‘offers in excess of…’, which is a bit like setting a reserve price at auction and if pitched at the right level, it could generate extra buyer interest. But take the advice of your agent – after all, they’re the ones with market experience.