Pricing Your Home To Sell In The Boise Real Estate Market
Despite all the real estate cheerleading, it’s no secret that the Boise real estate market has softened considerably in the past year or so.
If you’re thinking of selling, your most critical decision will be establishing an asking price for your home.
The usual method of pricing a new listing is to compare it to recent sales of comparable properties (we call ‘em “comps”).
In other words, you figure out what Bob down the street got for his identical home, then add $10,000 because your home has purple flocked wallpaper and his doesn’t!
That strategy may not work in a slower market for a variety of reasons, including:
- Buyers may (reasonably) expect to get a better deal than the last comparable home that sold.
- The last comparable home that sold may have included seller-paid closing costs or bonus compensation to the buyer’s agent that doesn’t appear in MLS comparable sales data (which means that Bob didn’t really get what he told you he did).
- Prices could decline further while you try to get the same price as the last comparable home that sold.
- Our market is seasonal; our slower winter market is just around the corner.
To ensure that your home sells, you should consider pricing slightly below the most relevant sold comps.
If you really need to sell, it’s a good idea to establish an aggressive price to ensure that your home will be the next home sold; not the last one!
If you don’t need to sell, well . . . . why bother competing with the 5,200 other single-family homes on the market in Ada County?
One thing is very clear in this market: The homes that are selling are the ones that are in drop-dead gorgeous condition and priced realistically for current market conditions.
July 30th, 2007 Posted in Uncategorized
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