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Signs That Your Home May Be Priced Too High

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If you want to put your home on the market, then it is wise to hire a real estate broker to help you with the sale of your home. One of the first steps in selling your house occurs when you discuss the price of your house and how much you want to sell it for. Your broker will be able to give you advice on the best sale price, but you will have a say in the matter as well. If you want your home to sell quickly, then you will need to make sure the asking price is not too high. There are several signs that this may be the case, like the following.

You Go With The Highest Broker Recommendation

If you met with a wide variety of real estate agents before settling on the right broker, then you may have been provided with a variety of different opinions on the asking price for the home. Sometimes, agents will use certain tactics to gain clients. One of these tactics involves wowing home sellers with the highest recommended selling price. This is called overpricing the house. If the home is overpriced, then the real estate agent may take a gamble on possibly finding a buyer for the home and receiving a larger commission. Also, the agent may plan on talking you into reducing the price over time after it sits on the market.

The best price for a home is a reasonable one and it is likely close to or a bit lower than the appraised value of the home. If your broker has suggested a ballpark estimate that is close to your last appraisal, then this is probably reasonable, accurate, and the right price to go with.

You Price Higher Than Other Houses In The Area

Home prices vary widely from area to area. The average home is worth about $188,000. However, the same home may only be worth $85,000 in rural Nebraska and over $150,000 in a suburb outside Chicago. Location makes a huge difference, and you should look at the sale prices for the homes in your area for the last year or two. There are a variety of websites online that provide this information. 

Try to find several homes that are about the same size with the same sort of amenities. While certain amenities can increase the sale price of your home, do not overestimate how much value this adds to the house. While a newly installed kitchen with chrome fixtures may be something that attracts buyers, it can also drive individuals away if you add another $10,000 to $20,000 to your sale price due to the updates. Thinking of updates as extras that will bring potential buyers in is a good way to think about the investments you have made in your home. 

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