Higher priced properties generally take longer to sell – and they are showing bigger differentials between asking and selling pricesHigher priced properties generally take longer to sell – and they are showing bigger differentials between asking and selling prices. There are still sellers at the upper end of the property market expecting high prices that are out of synch with market realities. Consumers are hard pressed due to the rise in living costs – and even those on the higher income scale are considerably more value conscious at the moment. In some cases sellers have a skewed idea of what their properties are worth in the present market and are slow to take advice from experienced estate agents on market related asking prices. Unfortunately, a determination to achieve certain asking prices often comes at a high cost, in terms of the length of time it takes to sell a property and the holding costs that sellers have to carry during that period.
Market value can be elusive to determine, because comparable type sales data does not always provide a good guide to what is considered a home’s value. Nearby houses that have sold in the past six months or thereabouts may be quite different from your home in appearance, age or condition, and there may be a limited data set to gain a proper valuation. That being said, you won't have much chance of getting a premium price on a standard condominium if identical units have sold for less.
As a seller, you obviously have a right to ask for whatever price you see fit, which you can drop lower if leads do not eventuate. You may get lucky, but asking too much involves a multiple risks, even if you just start slow to test the market for a few weeks or months.
On the positive side, someone might mathc your high asking price. Selling a house is different to selling lower priced objects, because the home seller needs only one buyer. It's possible that someone will find your home so perfect that it justifies a premium price in their mind. In summary it is a balance between speed and price that you must pin down before you decide to put up the for sale signs.
For all your real estate needs and advice contact Alert Property Group.