It’s no secret that West Sussex is in a hot sellers market at the moment, but it’s very important prospective sellers are still realistic about how much their home is worth. Choosing an estate agent based on who is valuing your property the highest can be a dangerous strategy. If you don’t have the right price the day you hit the portal headlines, you risk taking a longer time to sell, where often the final selling price will be lower than if you had valued your home correctly from the start.
With a window of about two weeks before your home becomes stale in the eyes of a buyer, our sales team at Hancock & Partners explain the benefits of marketing at the right price…
Multiple offers and bidding wars
If the price is right, you should receive a lot of interest very quickly after your home goes live on property portals and your estate agent’s website, as buyers like to think they are getting a ‘good deal.’ This usually results in a bidding war, which is where prospective purchasers make competing offers. It’s very common in a sellers’ market because there are more buyers than there are properties for sale.
A higher selling price
A property attracts the most interest from the start if priced correctly, leading to competitive bidding amongst buyers. This tends to drive up the purchase price quite considerably.
When a property receives a lot of interest from buyers, estate agents will usually suggest to sellers they go to sealed bids. This is a type of private auction where competing buyers submit their best and final offer by a pre-agreed deadline date. The seller then reviews them all before choosing a ‘winner.’ As these are sealed bids, the buyers won’t know what others have submitted, meaning they usually submit the highest offer they’re prepared to pay.
Attract a greater volume of qualified people
By pricing your home at the market value, you are promoting it to a much greater percentage of qualified buyers, which all helps to attract multiple offers, a quicker sale and a great selling price. The higher the asking price, the smaller your target demographic becomes.
A quicker sale
Increased interest means that you are more likely to sell your home faster. A property has its most impact on buyers when it is first listed. Once it’s been on the market for two weeks or more, it starts to lose its appeal.
Putting the seller in good steed
Buyers will want to know whether they are dealing with a reasonable seller or not, so if they are flicking through the latest properties for sale online and feel something is overpriced, they won’t bother getting in touch with the estate agent to book in a viewing. Instead, they will assume the seller isn’t willing to negotiate on price. Whereas a well-priced home will enhance the appeal of the property as well as the seller, and attract a much bigger audience.
Ultimately, if you overprice your home it will most likely stay on the market for longer, which doesn’t reflect well with buyers. You risk little interest, lower offers and failing to sell at all. Therefore, in order to maximise the sale, make sure you choose a good estate agent who understands your local property market in order to value correctly (and isn’t just trying to win your business), and has experience in selling your type of home.