Jack Hipolito Fernandez: Selling a Home Quickly Depends on Initial Pricing
Online, September 11, 2012 (Newswire.com) - For many homeowners, the goal of a property sale is to achieve the highest amount of money possible. Although some sellers may not mind over-pricing their home and staying on the market for an extended period of time, a recent article from The Washington Post suggests that time is the enemy for those trying to achieve a desirable price on the home. With years of experience in the real estate industry, seasoned realtor Jack Hipolito Fernandez explains that many first-time sellers misunderstand the pricing procedure, which can negatively impact the end result of a home sale.
Regardless of when the seller wants to move out of their home, the article notes that the longer a home stays on the market, the more negatively the price can be affected. Jack Hipolito Fernandez comments, "In my experience, buyers are typically scanning listings for the newest properties; even if they see a home they like at a price they can't afford, it is unlikely for them to wait around for that price to drop." The article notes that over-priced homes tend to stay on the market for extended periods of time, which may cause prospective buyers to wonder why no one else has purchased the home.
Jack Hipolito Fernandez states, "The last thing a seller wants to do is raise concern among a buyer. If the price is too high, the buyer will be concerned they cannot afford it and skip to their next best option. If the listing has been posted for more than two weeks, then the buyer will be concerned that the house is not worth the investment since no one else has opted for it." The article explains that in order to price appropriately, homeowners must compare their home to the true market value of other homes that have recently sold in the neighborhood. It states that the true market value is based on what the property actually sold for, not the original asking price.
The article also notes that even if a homeowner is afraid they have priced their home too low, there is a chance that they could actually receive more than what they asked for. It explains, "If a seller selects a price toward the low end, there is a very strong chance the pent-up demand from potential buyers is going to cause multiple offers to come in, and in some cases, raise the dollar amount above your asking price." Jack Hipolito Fernandez concludes, "The key to the tips in the Washington Post article, is that homeowners have to be confident; being finicky over a price will most likely cause the homeowner to lose more in the end. If an individual is not comfortable with the true market value, then they should simply avoid selling until it meets their expectations."
ABOUT:
Jack Hipolito Fernandez is a realtor and partner at his family's real estate company, HF Realty. Fernandez earned his business degree from California State University. He specializes in commercial and residential property in the Los Angeles area. Jack Hipolito Fernandez is committed to helping families find their dream homes and works to educate consumers on the housing market.