We recently read an article in LinkedIn entitled ‘It’s the Price that Sells a Home’ which struck a chord with us, and though the article concerns the US market, it is just as relevant to us here in Languedoc.
The crux of the article is that whilst factors such as location and condition are important, ultimately it’s the price that sells a property. Even a great house in the great location will not sell if it’s not priced correctly; even a bad house in a poor location will sell if the price is right.
All too often we are asked to market properties for prices well above our estimates. Our antennae always twitch when clients insists on an unreasonable price, and then add that they are ‘not in a hurry to sell’! These sellers are expecting that ‘special’ purchaser to come along, ignore comparative evidence and buy the house despite the price.
Buyers are very sophisticated these days. They can study the market from their Ipads on their sofas in East Sheen and by the time they get here they have spreadsheets, tick boxes, and their visits colour coded – if a property is above their budget ceiling or seems much more expensive than a comparable one, then they simply will not ask to see it. Also from the agent’s perspective, we are trying to make a sale – if viewings don’t happen or have dried up, it generally means that we are taking our precious buyers to similar but more reasonably priced houses where there is a better chance of securing a sale.
Therefore, it is imperative that a lot of thought is given to the price. It is not enough to base your calculations on factors like purchase price or what you have spent on it or indeed what you need to buy your next house. Sometimes it is hard to be objective about something as subjective as one’s home. You need to take heed of factors such as demand for your type of property, what price other comparable properties are going for and generally what the market is doing at that present time. A well established estate agent can give you invaluable objective advice. Use their professionalism to your advantage.
Fixing the right price is not a science, but there is an art to it and the best person to help you do that is your estate agent.
One of our competitively prices houses…..