My passions in life these days are my family, real estate, and tennis. That order can vary on any given day. When you hit a tennis ball with a tennis racquet, there is a special area on the racquet (like a baseball or cricket bat) at which point the force that is transferred to the hand is so minimal that striking the ball feels almost effortless.
In real estate, as in tennis, there is ‘a sweet spot’ – an optimal list price that can net the absolute most money for our clients’ home. It’s the price that, when researched properly, can result not just in a good result, but a FANTASTIC outcome for our clients. This is specifically what I am aiming for with all of my sellers.
I was talking to someone on the phone recently, and he said, ‘Well, these days, homes sell themselves!” Wrong. I can tell you that right now there are many homes on the market that have been listed for 15 days or more due to overpricing. These are the homes for which the buyer now has more leverage on price. If priced correctly, a property should be able to sell anywhere in the GTA in 6 or 7 days in this market (spring 2017). Anything past 15 days, and homes can rapidly get market stale, particularly considering the fact that we know that showings drop off around the two week mark as newer listings go live, both distracting and diverting buyers away from ones that are priced too high.
People sometimes forget that homes are not listed in isolation all by themselves. While we have very little selling inventory, that doesn’t mean that the week your home is listed, there aren’t two others that go up in the same catchment area in the same price range as yours, offering more bang for a buyer’s buck. Buyers (and their Realtors) are smart. When we act on behalf of our buyers we are aiming to get them the most home for the best value possible.
When you overshoot the mark and overprice in this market, you may very well end up helping to sell your neighbor’s home that was listed the same week yours was. If you were overpriced out of the starting gate, buyers very quickly figure out they can get an additional bedroom for the same price with that other home, or a finished basement for less than what you listed your home for without one.
Don’t be fooled. When we list a home there is a discernible sweet spot that can make tens of thousands of dollars worth of difference (and sometimes more). The market always corrects anyways. Let me help you find the price at which selling your home will net you the highest sale price.