One of the most critical factors in selling your Collingwood home quickly and for a good final sale price is choosing the right list price.
There are several different approaches you can take to determine the right price for your Collingwood property. Which one you choose depends on what strategy you want to use to attract Collingwood buyers and also how much risk you are prepared to take in order to attract offers.
Many Collingwood homeowners simply want to list their Collingwood property at the highest price they believe the market can bear. They have seen what a few Collingwood properties are selling for in their and then add an arbitrary percentage to reflect where they think the market will be by the time they sell in a month or two.
This rather optimistic approach is favoured by sellers who want to test the water’ to see just how high the market might go. They think they can try the high end price first and adjust it downwards later if they do not get results. As any REALTOR® can tell you, this strategy can be a costly mistake. Overpricing your listing can have several potentially damaging repercussions.
Salespeople will be less likely to recommend it to potential buyers, so you will get fewer viewings. They may pass it by in favour of other, more competitively priced listings, and in very little time, they will simply forget about it. Fewer viewers mean fewer opportunities to convert those prospects into buyers.
Trying to solve the problem with later reductions in the list price simply does not have the same impact as pricing it right the first time. In fact, sometimes the opposite is true. Going through price reductions means your house is on the Collingwood Real Estate Market for a longer time. And the longer it is on MLS®, the more suspicious buyers become that something must be wrong. It is human nature. This means you may have to lower your price even further to get action.
The ideal strategy to stimulate buyer interest is to set your initial price either at, or even slightly below market. In fact, in a very high demand area, it may even be preferable to list the most sought-after properties at an under-market price. This is done to encourage the seller’s dream scenario – the multiple-offer bidding war.
How do you know what approach is right for you and your Collingwood property? This is where a REALTOR® like myself can help.