The Art and Science of Pricing it Right—from Day One.
Everyone knows that market data plays a significant role in deciding your home’s value or list price when you’re selling. However, other factors, including style, layout, updates, and condition, may have an even greater impact on property value.
Online estimators use public data and algorithms to spit out an estimate of a property’s value without consideration for property conditions, features, improvements, local market activity, or other personal observations. If you’ve ever used one of these tools, you know that the numbers can land way off target.
Sellers may also be influenced by their emotional attachment to the home, leading to unrealistic pricing expectations, longer market time, and lower sales prices.
These factors work together to determine property value:
1. Location:
Location, location, location! These are still the top three reasons a property sells and at what price. The lot, location, proximity to work, schools, shopping, parks, healthcare, and transportation will increase a home’s value.
2. Neighborhood and Community:
Buyers always look for desirable neighborhoods with low crime rates, outstanding schools, and good community amenities to raise property values.
3. Size, Style and Layout:
Aesthetics, style, comfort, and livability will go a long way in determining your home’s value. There’s no substitute for a good layout and floor plan, size, space, and room count. High marks for kitchen features and outdoor living spaces.
4. Safety and Security:
Features such as smart home technology, security systems, parking, storage, additional rooms, and larger homes generally command higher prices.
5. Property Condition:
You have more control over property condition than any other factor influencing price. Updated kitchens, bathrooms, and well-maintained structures boost home value, while needed repairs or outdated features can reduce it. Make repairs to your home, then dress it to sell! Get some tips on staging to sell and what to do with a messy kids’ room.
6. Market conditions:
Low inventory can drive up prices in a seller’s market, while a buyer’s market can cause them to stagnate or drop. We’re in a shifting market right now; see the latest numbers by County.
7. Economic factors:
Interest rates, inflation, and job market strength impact buyers’ purchasing power and home prices. The Fed is expected to lower interest rates this fall.
8. Comparable properties:
The sale prices of similar homes in the area (comparables) help set the value.
9. Future development:
The North Dallas suburbs continue to expand, which means it’s vital that the area’s infrastructure and commercial and residential developments can influence property value.
These factors work together to determine the market value of a home.
Choosing Your Real Estate Partner
The agent you select will also contribute to your success as a seller. When it’s time to start the interview process for your listing agent, we hope you’ll consider us. Here’s a little more about how we can help you and our business philosophy.
Want to Know Your Home’s Value in Today’s Market?
The Bottom Line
Seller representation is a critical role that you, the consumer, must understand from day one! The seller’s agents play key roles in selling a home.
They strive to make their clients’ experiences as smooth as possible and to get them the best deals.
If you’re looking for a Realtor® to represent your best interests when selling a home, working with someone you can trust and feel comfortable with is important.
EDITOR’S NOTE: In the real estate business structure, brokers are responsible for agents, and all agreements are signed on behalf of the broker. The term agent is used throughout for simplification.
North Point Realty – Serving the Dallas area since 2002
Real Estate Questions? Just ask!
We know what we’re doing, and we’re here to help: call/text 214-212-6770
Let's Connect
Tell us what's on your mind - we'll get right back to you.