Determining the value of your home comes from looking at a Comparative Market Analysis (CMA), considering influencing factors and the relationship of a comprehensive marketing plan with a pricing strategy.
Comparative Market Analysis
In the CMA process, we will review related properties recently active and sold on the market. Recent sales are the strongest indicator of what a current buyer and current seller are able to contract for a successful close, resulting in today’s fair market value. Sold properties illustrate the relativity of home location, features and salability with buyer interest. Current listings will indicate the level of competition and homes being compared against your property.
A number of factors influence buyer interest in both their willingness to make a purchase and the price they are willing to pay. Some factors like consumer confidence, the state of the economy, availability of money and interest rates, are important considerations outside of our control. Other significant factors are also finite, such as the location, size and features of the home. The condition of the home also has a substantial impact on buyer interest and their evaluation of what the home is worth when compared to competing listings.
Marketing and Pricing Strategy
In addition to consideration of a CMA and influencing factors, it is important to consider the impact a comprehensive quality marketing plan will have in reaching the widest breadth of current home buyers, and their perception of the value of the home. The presentation of your home impacts whether a home buyer puts it above or below the value of your competitors. In short, they see the home as worth more or less than the others.