When considering the value of a property prior to putting it on the market, many vendors understandably look at the asking price of other properties currently on the market locally and draw pricing conclusions based on this research.
Whilst this is not an unreasonable way of determining value, there are some traps to watch out for.
Firstly, an important observation is that if a property is on the market, it is by definition “unsold”. An unsold property is invariably one that is overpriced. If it had been priced correctly then it would have sold, but in the event the market has rejected it, it will probably only sell if the price is reduced. So if you have a similar property and you price it around the same level as the unsold property, then the chances are that yours will remain unsold as well.
We know that purchasers buy by comparison. So your property has to compare favourably when seen alongside others on the market. If your property is similar to another on the market nearby, then yours only becomes readily saleable when it is priced favourably and offers better value for money.
Additionally, if you feel that your property is slightly better than a neighbouring property for sale (as you are bound to, as you chose the décor and it has your own possessions in it) then surely it makes sense to quote a similar price, rather than attempting to offset the extra features with a higher price.
Ultimately, correct pricing is all about seeing the world through the eyes of the buyer and making responsible and effective pricing decisions which always point to offering better value than that offered by competing properties available locally.
We’re experts in this field. If you’d like to know how your own property compares to others currently available then please feel free to contact us on either Billericay 01277 623010 or Brentwood 01277 230300 for a free and intelligent consultation without obligation.
17th October 2017
Grace & Rose Estate & Letting Agent
If you are looking to move home in the near future, or need any advice with regard to selling or letting your property, please don’t hesitate to call either myself, or one of our team at Grace & Rose, your local, independent, family run Estate Agents in Billericay 01277 623010 and Brentwood 01277 230300 – book your free market appraisal https://graceandrose.co.uk/contact-us/ or email me direct on firstname.lastname@example.org
We also cover Shenfield, Chelmsford plus the surrounding villages including Blackmore, Bobbingworth, Chipping Ongar, Doddinghurst, East Horndon, Fryerning, Great Baddow, Great Burstead, Great Warley, Herongate, High Ongar, Hutton, Ingatestone, Ingrave, Kelvedon Hatch, Little Burstead, Little Warley, Moreton, Mountnessing, South Woodham Ferrers, Stock, Stondon Massey, The Lavers, The Rodings, West Horndon and Writtle.