Points to ponder while pricing a Home

by Swati Banerjee

You've finally decided to put your house on the market. How do you determine the value of your home and at what price should you list it, you ask yourself? There are several factors that help determine these two important questions. The ten most important factors that you should consider in pricing your home are interest rates, supply and demand, economy, location, condition, timing, size, amenities, terms, and attitude.

Common sense tells us the lower the interest rates are, the more people can afford to pay for a house.

How many houses are for sale in your neighbourhood? How does your home compare with the others? Consider these other homes as competition. What can you do to draw people to your home, or what sets your home apart from the others? On the other end of the factor, less homes for sale can result in competing bids which in turn can up the price.

How is the economy in the area, is it improving or failing? This can affect a purchaser's confidence. Will they be able to manage the debt, or will the property decline in time or be worth more?

What is the surrounding neighbourhood like? Are key services such as schools, doctors and shopping near by? How is the school system and are there environmental issues or traffic problems in the area?

What is the condition of the home you are selling? Are features updated, and are repairs kept up? How is the curb appeal?

Are you in a rush to sell your home, or can you take your time, and hope to make a profit? What is the size of your home? Will it appeal to a growing family, or to those that are looking to downsize?

Does your home have many amenities? Is the landscaping attractive yet low-maintenance? Are there popular features such as granite counter tops, or a wine bar?

What are the terms of the sale? How flexible are you with respect to the sale? What is included or excluded? Would you consider offering financing?

And last but not least, how committed are you to selling at the present time? Is the real estate market rising, falling, or on an even keel? Have you selected a real estate agent based on services or price? Is the opinion of value based on actual homes for sale in the neighbourhood, and how many other homes are for sale in the neighbourhood at the present time? How long have the other homes in the neighbourhood been for sale, have they been on the market for too long and why? Are your financial needs influencing your asking price, and are you willing to price right and stand firm on the price?

Determining a listing price is of the most importance in selling a home. But how do you determine the value of your home? Square footage and the number of bedrooms and bathrooms are a big factor. Usually, larger homes with more bedrooms and baths increase the value. Your home's view is another factor. Is it on a private lot or cul-de-sac? Is public transportation close by? All these factors can add to the value of your home along with school districts, and the age and condition of your home.

Another important factor in determining the value of your home is the current number of comparable listings on the market in the neighbourhood. Supply and demand plays a big part. If your home is in a desirable area, and there are not many homes available similar to yours, this can make your home more valuable.

Your real estate agent can help you determine the value of your home. He or she should have a good understanding of the current market in the area, and be able to compare homes, and estimate how your home sizes up. When looking at the other homes, besides the number of bedrooms and baths, consider features such as moulding, the condition of the home, the slope of the land and etc. when looking at the comps.

Have your home professionally appraised. A certified appraiser has a data base that he or she uses of recent homes that have been sold in the area, from which your home can be compared.

By following the above simple rules, pricing and selling your home should be hassle free.

About the writer:

Swati Banerjee is the owner of Writing Ink, a web content management firm based out of India, that services clients from across the globe. Please take a minute to check out the Writing Ink website, to experience how the bright young minds here make magic with words! LINK

Recommended Real Estate Service:

Advertise your property for sale, lease or rent on The Canadian Real Estate Guide, LINK. E-mail us to find out more information about our value-added advertising.

Become a Member:

Would you like to see other similar articles and critical commentaries in The Canadian National Newspaper? Then, show your support. Make a member-pledge donation, in support of the Membership Drive of the Pro-Democracy Media Foundation.

The Canadian can only continue to publish investigative articles in such areas, with the donations from members of the public in Canada, the U.S., and abroad. Consider making a donation of $50.00, $75.00, $100.00, $200.00 or more. Donors are eligible to receive our first collector's print edition in mail. Alternatively, you can send us a note to be placed on our special email list of members. Member-donors can also suggest articles or commentaries to be published in The Canadian.

The Canadian is a socially progressive and not-for-profit national newspaper, with an international readership. We provide an alternative to the for-profit commercial focused media, which often censors vital information and perspective of potential interest to the diverse Canadian public, and other peoples internationally.

Become a member of The Canadian, with your donation-pledge. Help support independent, progressive, and not-for-profit journalism.