If you are getting ready to move to a new residence, you may be making preparations for putting your current house up for sale. However, you may be having difficulty coming up with a listing price. If so, consider the following when trying to price your house before putting it on the market.
1. Home's Current Value
The first thing you will want to look at when determining the selling price of your house is its current value. Especially if you purchased it more than a couple of years ago, it most likely is not worth the same amount that you paid for it.
Factors that may affect the current value of your home include the residences around your house, any improvements you have made to the residence, and any changes in the area surrounding it. If you and your neighbors made improvements to your homes that have made the area more appealing, your current value may go up.
However, if the area in which you live has taken a downward turn because of changes in neighbors or zoning, your house's value may have actually decreased. To know the current value, you can speak to the mortgage company or seek help from a real estate consultant.
2. Overall Market in Your Area and Nationally
Even if you have figured out the current value of your house, the amount you have come up with is not necessarily the price for which you should list it or even the amount of money you will receive for it. You also have to look at the overall housing market, both in your area and nationally.
First, look at your area to see for what prices homes are typically selling. You should also investigate how quickly they are being sold, which is information you can receive from public records or a real estate office.
Second, look at how the national economy is affecting the overall housing market. If the economy is on an upturn, you may be able to get a little more out of your house. However, if the state of the economy has decreased, you may get less than the value.
In the latter case, if possible, you may want to wait until the housing market improves. If you cannot wait, however, you should brace yourself for the possibility that you may not get the full amount you desire.
When trying to balance what you want to get out of your home with what type of money you can expect to see, you may find it difficult to come up with a selling price on your own. For help with this and other aspects of selling your home, contact a real estate consultant.