One of the first questions home sellers want to know is “how much can I sell my house for?” Knowing how to price your house for sale is one of the most important considerations before you list. Overpricing your home puts you at risk of turning off buyers during the critical first few weeks that your listing is on the market.
The strategy of pricing high to start and ‘seeing what happens’ is risky. Adjusting the price later can end up being too little too late. Or it signals to potential buyers that you’re starting to panic, which may encourage some lowball offers.
Figuring out the best asking price to list your home is really important for ensuring a quick, low stress home sale.
Request a Comparative Market Analysis of your home
A Comparative Market Analysis (CMA) is an estimate of the market value of a home based on the prices of recently sold properties in the same neighbourhood of a similar size, condition, and age.
A CMA is typically completed by a real estate agent as they will have access to all the recent sales data in your neighbourhood. They’ll look at recent home sales in your community and identify the listings that are most comparable based on the size, age, features, and condition of your home.
In addition to homes that recently sold, your agent will look at other comparable homes currently listed for sale. They’ll be sure to look at how long they’ve been on the market. When comparing similar properties where one or more has been on market longer than the others, it may be a sign that the listing is overpriced.
Your real estate agent will then be able to provide you with a report that summarizes sales information including the listing and selling prices, as well as days on market for comparable homes recently sold in your area.
How much can I sell my house for? Search comparable homes for sale in your neighbourhood
Days on market matter
Getting that list price right from the very beginning is important to get visibility on your listing during those first few weeks on market.
An overpriced home will likely sit on the market as buyers will be turned off. The listing might not even appear in a buyer’s search results if it’s priced above their search criteria.
Rather than holding out for the buyer who likes to haggle or the one buyer who thinks your home is worth the extra money, you run the very real risk of turning off buyers who won’t think you’re serious about selling your home. And reducing the price after it’s spent 60+ days on market may worry some buyers that there’s something wrong with the home.
Buyers pay close attention to the number of days that a listing has been on market. As patient as you may think you are and as willing as you might be to wait for the ‘right buyer,’ you run the risk of having to accept a much lower offer because the number of offers are few and far between.
Consider local market conditions
Heading into the busy season for the Edmonton real estate market, some segments are shifting back towards a seller’s market. Particularly for single-family homes under $500,000 in the Edmonton area, the supply is fairly tight and demand remains high. Demand also remains strong for half-duplexes, townhomes, and row homes.
Understanding current market conditions is another important factor when pricing your home for sale. When asking your agent “how much can I sell my house for?” they should be able to give you some context in terms of the current market including demand for your type of home.
Typically, as demand increases and supply decreases, we can see home prices appreciate. While the market has balanced considerably compared to 2021-2022, the Edmonton market is expected to show continued strength throughout 2023.
Enlist a experienced REALTOR®
From compiling your Comparative Market Analysis report to advising on current market conditions, an experienced real estate agent will have the resources and expertise necessary to help you come up with a good listing price.
With 20 years of experience in the Edmonton real estate market, Wally has worked with hundreds of home sellers to price their homes to sell quickly with an excellent return on their investment.
Call/text Wally at 780.238.7384 to get your home listing started.