Unlike other objects or items, pricing your home is full of pitfalls. These pitfalls can either make your home sell so fast you feel like you’re still inside the home as the new tenants are moving in, or on the flipside you’ve grown a beard from waiting so long for it to sell. With the hot market we are currently in it’s not that unusual to receive offers in a matter of hours after listing, so pricing it appropriately can make all the difference in maximizing the best return for selling your home.
We break down how 3 factors influence the value of your home so you can price it effectively while still getting it to sell quickly.
How Your Home’s Location Impacts Pricing Your Home
Naturally, one of the biggest factors that affect the value of your home is simply where it’s located. Being closer to schools and parks can increase a home’s value, especially for interested families.
Proximity to amenities like grocery stores, the airport, and other places like coffee shops can all also have a positive effect on your home’s value.
In short, the more close-by amenities your home has access to, generally the higher it can be priced.
How Comparable Sales in Your Area Affects Your Home’s Value
Comparable sales, “comps”, or “comparables” are all terms that refer to the prices of recently sold homes in the area. These can inform your decision to price your home as they can give you a rough estimate of what your home could be worth based on similar properties that have sold.
When looking at these homes, it’s best to check ones that have sold in the last 6 months to get a more accurate sense of the market. In addition, you should also be looking at homes within your area code and preferably as close in location to your home as possible to get a sense of the value of homes in your neighbourhood.
How the Condition and Renovations You’ve Made Impact Your Home Price
You wouldn’t want to pay as much for a car that’s in poor shape and the same can be true for homes. Homes in better condition are worth more, one definite factor that home appraisers look at when making their assessment.
On that note, any improvements, updates, or other renovations or repairs made to your home will also improve the value, and therefore the price you can sell it for.
This doesn’t mean you need to renovate your entire home to get the best price though. Some renovations will increase the value of your home more than others like new windows or kitchen remodels.
If you’re unsure how to price your home effectively the best thing to do is to get in touch with a real estate agent that understands the area you live in. They can offer advice based on their years of experience in the market and give you a realistic approach to pricing your home.