Above market value pricing means fewer buyers.

Below market value pricing increases the pool of interested buyers.

If you price your property above the comparative market value then few buyers will even look at it. Some sellers assume that there will be some “negotiation” over the price and that by pricing it higher they will arrive at the price that they really expect to see....

This strategy may work to some extent in a hot “sellers” market where asking prices are often the “opening bid” for prospective buyers, or if there are local property circumstances, like being a neighbour of a celebrity, that might make the property attractive to buyers willing (and able) to pay the premium.

In general though, above market prices will result in fewer buyers even looking at the property and a longer sales cycle assuming that a buyer is eventually found. Even when a buyer is found, the above market value pricing may create problems if the buyers down payment cannot bring the loan amount inside the “appraised” value of  a property as it may become difficult for the buyer to obtain a mortgage.

Determining and then pricing “at the market value” is why you turn to your realtor to prepare your Comparative Market Analysis. You can of course use the services of Zandra Lawrence (631) 821-4927 ext 105 to request a free CMA. There are a number of factors that make up a CMA including:

·   Public records of Real Estate transactions in your area – specifically at least three comparable homes to yours that have sold in at least the last six months.

·        Current asking prices for comparable homes in your area.

·        Prices of houses that have NOT sold.

·        Condition of the property

Using the above sources plus experience and knowledge of the local community and market conditions your realtor would prepare a CMA. Zandra Lawrence will also meet with you to discuss how the CMA was evaluated and the initial market price determined. If you consider listing the property with Zandra Lawrence a more detailed recommendation will be made, based on your requirements for the sale,  to arrive at the asking price.