How Much Should You Reduce the Selling Price of Your Home?

Selling a home is never easy, especially when you consider the market conditions and the sheer number of homes competing for the same buyers. As a result, a seller may be tempted to reduce their asking price to help make their home more attractive. But, what many sellers want to know is – how much should you reduce the selling price of your home?

Here, Trusst's Southport NC builders share some tips and advice about selling your home and determining when and how much to drop your asking price.

When Should You Start Thinking About Reducing the Price?

In most cases, if a home hasn't sold, or at least generated some offers, within 30 days after being listed, then the seller should seriously start thinking about their asking price. The reason is because the longer a house sits on the market, the more devalued it will be in the eyes of buyers.

Odds are you set your selling price based on what you want to net out of the sale of your home, but if the house isn't attracting buyers, then it's time to reconsider and instead, focus on what the market is dictating.

Check the recent sales for homes in your area. How is your price in comparison with other homes that have already sold? What is the condition of your home compared with those homes? Are you asking a higher price on a home that may need more work than others recently sold in your neighborhood?

Start Thinking Like a Buyer

Look at your house from a buyer's perspective. Put the sentimental feelings you have to your home aside for a moment and seriously consider if you would buy your home at its current asking price. Ask yourself, how much would you comfortably pay for your home as it currently is?

Re-Think Your Pricing

These days, home buyers do their due diligence before choosing which homes to see in person. Thanks to the Internet, buyers can peruse available homes and narrow down their choices. Because of this, pricing is crucial. Most buyers will input round numbers into their search criteria, so if you set a price on your home of $210,999, your home is never going to show up in the search results for someone searching for homes with asking prices up to $210,000. Therefore, you may want to consider re-thinking your asking price to something that will gain your property more visibility online.

Ask Market Value for Your Home

Most sellers will set an asking price for their homes that leaves them with a little room for negotiating. In some cases, this can be as much as 15% over the market value price of the home. If you want to sell your home quicker, get rid of the “wiggle room” and drop your price to the home's current market value. The price drop will attract more buyers and because you're now asking fair market value, you won't have to worry as much about negotiating. As a side benefit, homes that are set at market value can sometimes wind up in bidding wars because they become so attractive to a number of buyers at the same time. When this occurs, sellers often find their homes selling for even more than their original asking price.

Need a New Home? Trusst's Southport NC Builders Can Help

If you want to sell your home so you can move into something more suitable for your lifestyle, Trusst Builder Group's Southport NC builders will work with you and within your budget to help you get the best possible home for your family's needs. We build in some of Southport's most prestigious communities and depending on your unique needs, we can even design and build the custom home of your dreams on the land of your choice. Visit Trusst Builder Group today or call us at 910-371-0304 to schedule a consultation with one of our custom home designers.