Overpricing can damage your property's chances of being sold

For most people, your home is where your memories are made. Although these memories have immeasurable value, you cannot put a price tag on them. Taking this into account, you must be careful not to price your property subjectively. Pricing your home correctly is the first step towards a successful sale in which you don't end up disappointed.

Lets consider 3 Reasons why properties are often overvalued and why these reasons can lead to disappointment:

1. The seller awards the mandate to the estate agent who offers the highest valuation with the aim of securing the mandate. This is the most common reason. Sellers should be aware of this 'trap' and should insist on a well researched Comparative Market Analysis (CMA).
2. The sellers feels that their property boasts features of higher value when compared to properties with similar characteristics in the area. Upgrades are not the main deciding factors with buyers, but rather location and size. What might be considered value to you might not have the same value for a buyer.
3. Sellers wish to list higher than the fair market value in order to 'test the market'. On average, you attract the serious buyers in the first 4 weeks after listing a property. If you are over-priced in the first four weeks you will miss the serious buyers.

Pricing your property correctly is vital because buyers are astute in their research, mainly because their property purchase is of such a high value. They will be very careful to take the time to find a property that best fulfils their expectations and budget. An overpriced property will be compared to other well-priced properties and fall short every time. Furthermore, an overpriced property runs the risk of becoming overexposed which will negatively impact the marketing efforts.

A well researched CMA will ensure that your property is correctly priced from the start and in doing so, attract the right buyers. A CMA consists of information on the subject property as well as similar properties that are for sale, similar properties that have sold, and lastly similar properties that have either expired or have been withdrawn and therefore leading us to the estimate value of the subject property which is both fair and market related.

At 3%.Com Properties we can deliver in 3 key areas to ensure your price is right:

1. We are skilled Attorney Agents who will ensure a CMA is done with our top standards and your best interests in mind.
2. We will make sure to continually assess the market's reaction to your property and ensure that your property is neither overvalued nor undervalued.
3. We charge a low commission rate (3% plus VAT) to ensure that when your property is priced right, you still get out more compared to other agents who demand higher commissions.

Get in touch with your nearest 3%.Com Attorney Agent today and make sure your property is sold at the right price from the start!

This article is a general information sheet and should not be used or relied on as legal or other professional advice. No liability can be accepted for any errors or omissions nor for any loss or damage arising from reliance upon any information herein. Always contact your legal adviser for specific and detailed advice. Errors and omissions excepted (E&OE)