Seller's / Setting the price Tips

There are a number of factors to consider when selling a property, not the least of which is achieving maximum value. An agent will be able to assist you in coordinating the sale of your property and will provide support through marketing, inspections, advice, negotiations and more.

Market Conditions
It is ideal to sell high and buy low, but this is not always practical unless you are an investor. That said, it does help to be aware of the economy because changes within local and national markets can affect property prices. For example, when the economy is doing well and interest rates are low, demand for property is generally high and this in turn pushes prices up. When inflation is low, investors may be more attracted to the stock market which could also lower demand in the property market. Industry events can also have an impact upon property prices; if a large employer is removed from a particular region, job losses could ensue, leading to diminished house prices in the area.


Setting the Price of Your Property
It is important to set the right price for your property. If it is too high you will have difficulty competing with similar properties for sale/lease in the area, and if it is too low you will not realise the property’s true profit potential.

You must set a price that is realistic, attractive to buyers and reflects the full market value of your property. To determine what your property is worth you must take into account a number of important inherent and external factors.

Inherent factors are specific features of a property including:

External factors are market-wide issues such as:

Setting a suitable price is not always easy and a market opinion should be sought from a real estate agent. Agents enjoy a working knowledge of the local property market and recent sales prices, placing them in a strong position to set an appropriate value for your property.

It is important that you ask the agent to justify his/her estimation of your property’s value (using market knowledge, recent sales etc). This will ensure your best interests are served, and that a realistic, unbiased price is set.

It may be worth your while to engage an independent professional valuer to value the property. Valuers are skilled professionals who are legally liable for their services and have no financial interest in the sale.


Inspections
Inspections by appointment, rather than open inspections, result in a number of benefits and provide you with privacy and security. Inspection by appointment may not be as convenient for the agent but it will allow them to screen buyers more closely and give time to those people genuinely interested in buying your property. There are also many advantages for buyers who inspect by appointment; when a genuine buyer can inspect your property at a time convenient for them, a favourable relationship is immediately established. They are given individual attention and treated as valuable prospective purchasers; and they have the full attention of the agent to discuss concerns and ask questions.