Perhaps the most common question that sellers face is, “How much should I sell my home for?”. Home prices increased by almost 17% in 2021 compared to 2020. And according to a recent survey, 83% of real estate agents expect these trends to continue into 2022, though a more balanced market may start to emerge in the second half of the year as interest rates rise.
Work with a top agent to get an estimate and develop a strategy
One of the easiest tools that can help you estimate a price is an automated valuation model (AVM). These tools use a large pool of data on factors like property and home size, location, and price history to calculate an approximate home value.
But, the best way to ensure that you’re setting the best price for your house sale is to work with a top agent. An expert agent will perform a comparative market analysis (CMA) to establish a price that reflects the market and the aspects of your home that AVMS don’t take into account.
Setting the right price for the right buyer is crucial for a successful sale, and an agent will know the best strategies for hitting that target immediately. A real estate agent will also use their experience and market trend knowledge to incorporate other factors in addition to aligning the price with your goals and optimizing it to attract potential buyers.
Factors that go into a CMA
A comparative market analysis will take several factors into account. An experienced agent will know how to balance the analysis with the unique features of your home to best align with potential buyers. Here are a few elements that make up a CMA:
The gross living space of your house will be factored into your CMA. This includes bedrooms, bathrooms, living room, dining room, kitchen, and any other common areas. Depending on where you live, you may even be able to include a finished basement or an indoor sunroom/porch in your square footage.
The lot size is the amount of land your house sits on. Bigger properties can offer opportunities for expansion, room for a pool, or privacy from neighbors.
Your CMA will use the age of your home as a point of comparison to recent sales in your area.
Your house’s location matters for a couple of main reasons:
- Home values can vary depending on your state and county.
- Buyers might consider information on your neighborhood like walkability and proximity to amenities like highways, parks, and grocery stores.
Many homes need a few minor repairs. But, major issues like roof damage, plumbing issues, or a non-functional HVAC system can dramatically lower the price of your home.
Even if your house needs a lot of work, you can still sell without giving it a complete overhaul. Minor updates can make a huge change in the condition of your home. A small investment on fresh paint or new appliances can lead to a high return on investment when you sell.
Ready to Get Started?
Selling your home can feel intimidating. But, an agent will guide you through the process and look out for your best interest at all times. They’ll advise you on every aspect of your sale – from staging to closing.
Team Melton has over 50 combined years of real estate experience to assist you through every step of the process. Contact us today to get started on selling your home!