The Denver housing market is hot, and there is no better time to sell. If you’re ready to put your home up for sale, you may be wondering how to determine the listing price. All you need is a little help from Denver real estate agents who can make sure you get the price right.
Why Listing Price Matters
The Denver housing market is currently favoring the seller, but how you price your home can make all the difference in how fast it sells. Price is often the biggest factor in search criteria for potential buyers. If the listing price doesn’t seem fair, you won’t capture the buyer’s attention to draw them in for a viewing, let alone rake in an offer.
Most buyers looking at Denver homes for sale are often searching within a certain price range. Setting your listing price strategically will ensure your listing is included in as many price ranges as possible. For instance, pricing your home at $199,000 will include your listing in searches for property under $200,000, whereas pricing at $200,000 may push your listing into a higher price range and out of view from buyers who may be interested in the property.
The Problem With Overpricing
You’ve likely put a lot of time and money into your home, and it can be tempting to set a listing price for what your emotions tell you it’s worth. Buyers looking in your price range will ignore your listing if it is priced too high. Those buyers who are not put off by the price will not be interested in the size, condition, and amenities of your home that do not match the standard of similarly priced homes.
Overpriced homes tend to sit on the market for longer, even the seller’s market conditions we are seeing in the Denver housing market. To compound the issue, houses that sit on the market longer are even less attractive to potential buyers because they assume there are issues keeping them from selling.
If you do find a buyer who is willing to make an offer on an overpriced listing, the sale could fall through before closing once the home is appraised. Mortgage lenders will not agree to lend more than the purchased property is worth. If the appraisal comes in lower than you’re asking, you’ll have to lower the price, or the sale will not move forward.
Selling Yourself Short by Underpricing
You may want to price your Denver home for sale at a low price to make a quick sale, but that isn’t the best approach. When you underprice your home, you’re leaving money on the table that can be put toward a new home or saved for the future. You can set a competitive price to sell your home quickly, but you shouldn’t accept much less than it is worth.
Underpricing can raise suspicion in buyers who may see the price as too good to be true. If the listing price seems lower than it should be based on comparable properties, potential buyers may wonder if something is wrong with the property and dissuade them from scheduling a viewing.
How to Set Your Listing Price
The best way to set a listing price is by working with highly experienced Denver real estate agents. They’ll pull listings of other Denver homes for sale and run a comparative analysis to see how your home should be priced in comparison to other listings. They’ll also be able to account for property values, market conditions, and your personal circumstances to calculate a listing price to get you the best offers and sell quickly.
The Right Agent for You
The talented team of agents at This Must Be the Place is ready to help you sell your home in Denver.
Contact us today.
