Getting the price right is essential to getting buyers through the door of your home, in fact it plays a dramatic part in making that happen. There are different strategies to getting the price right depending on the value of your home but a few fundamental rules do apply.
Bearing in mind 99% of people now look at properties online in some way, shape or form then it is easy to see that getting your house to stand out from the crowd is, for any agent, like trying to get the proverbial needle in a haystack to the surface so it can be seen, found, identified, spotted – use whichever term you like but you need to stand out from the crowd.
Price will always be a major factor in this, you will have noticed nowadays that savvy estate agents don’t value property at anything ending in odd numbers like 999, 995 or 750 – the reality is this is hugely old fashioned and representative of a bygone buying era – I remember the days when 99p always sounded so much less than £1 pound!!! That’s just not the case any more.
The reality is, in the ‘information’ age we all now live in, needing to find ways to stand out from the crowd and marketing in all it’s different guises is a hugely important factor in this but we’ll talk more on those specifics another time, I’m focussing here today on getting the price right.
3 factors on that are most important to me:
Firstly, there has to be some sort of evidence that the sale of a house with a similar ilk to yours have achieved. Now I don’t mean the figure they have gone on the market at, I mean the figure they have actually SOLD at, every home has some similarities to others, even the odd and quirky ones, in fact they can often be easier to value because they are so quirky – bearing in mind we’ve grown our reputation around the quirky and individual types of property then I think we have some valid experience in this area. The reality is whatever figure you use as your baseline it has to stem from some sort of reality.
Secondly, you need to consider the potential audience for your property, how big is the audience who want to buy (not of course, the audience who are just nosing around looking at property porn) we must ask ourselves - how many actual buyers are around at present? The answers to these questions will give us fodder to make judgements on whether we should be raising or lowering the price from the benchmark of others that have sold.
Thirdly, you need to look at the matter from a logical and statistical point of view – now I do accept not everyone is a numbers nerd like me but work with me on this one a moment because there really is a lot of logic to what I mean here. If we know that 99% of buyers start their search on the internet and all the property search sites have certain search parameters for example, properties between £300,000 and £500,000 go up in increments of £25k, then from £500,000 to £700,000 go up in increments of £50k, then again from £800,000 to £1million it goes up in £100k blocks, after £1m then it’s into £250k jumps. I think you get my drift!
Now, as we know from statistics provided by the likes of Rightmove, we know HOW people search for property online and if we look at how people do this we can make sure we position the price of your house as appropriately as possible to be seen by the widest possible audience. It surely makes total common sense to market your house at one of the benchmark prices online to ensure you at least fall into two search blocks. When you look at the statistics on Rightmove it really does become a numbers game and the more people who actually want to buy and the more people that can actually ‘SEE’ your property means you can get more people through the door. After all, as I said earlier, isn’t that what all the marketing is about anyway, remember no one buys a property until they have been to see it with their own eyes. The value of any house is not in some randomly picked figure, I or even you chose, the value of your house is dictated by the value the buyer sees for themselves. Although it is fair to say, that is a whole new topic of conversation for another day.
Don’t forget, if you need any advice on the value of your home please don’t hesitate to ask, we always say, if there a cup of tea involved, we will value anything or even talk through with you any plans you have to extend or refurbish your current home.
That’s it from me for today, we’ll be back soon with another instalment.