Are you a seller in Hamilton wondering why your house isn’t selling? If you prepared and staged your home to look its best but you’re still not getting any offers, you might be wondering what else you can do to attract buyer interest. Part of achieving a successful sale is understanding the most common reasons a property in Hamilton fails to sell. In this post, our real estate experts at Your Home Sold Guaranteed Realty Elite - The Augustine Team will discuss the top reason behind unsuccessful home sales. We’ll also share some tips to help you avoid the problem.
- Pricing a home incorrectly is usually the result of either not understanding the market, or believing the property is worth more than it actually is due to sentimental value.
- Pricing a house even just five to ten percent over its true market value can deter most buyers from looking at it or making an offer.
- Overpricing is easy to avoid, but it involves working with an experienced real estate professional.
What is the Most Common Reason a Property in Hamilton Fails to Sell?
The most common reason a property in Hamilton fails to sell is that it’s overpriced. Pricing a home incorrectly is usually the result of either not understanding the market, or believing the property is worth more than it actually is due to sentimental value.
Pricing a home is a complex decision. It involves careful analysis of the market and comparable sales in the area by a professional realtor who’s familiar with the pricing trends in the area.
You might think that overpricing your home is an easy way to get more money for your home. But in reality, overpricing can cause you to lose thousands of dollars in potential profit.
Pricing a house even just five to ten percent over its true market value can deter most buyers from looking at it or making an offer. They can easily find similar properties listed lower, so why bother with an overpriced option?
As that home sits on the market with no offers, you might eventually realize your mistake and start making some price reductions. But by then it’s often too late because buyers see that the home has been lingering on the market for months, and they might think something is wrong with it.
This cycle continues with the home’s price dropping little by little until it finally sells for much less than it could have originally– or it never finds a buyer at all.
How to Avoid Overpricing
Overpricing is easy to avoid, but it involves working with an experienced real estate professional. Some tips to price your home accurately are:
- Research the market: Work with your realtor to compare your home to recent sales of similar nearby properties. Don’t inflate based on renovation costs or sentimental value. Go by the numbers.
- Get an appraisal: Appraisals are the most accurate way to discover what your home is worth. Typically, the home buyer orders an appraisal as part of the buying process. But nothing is stopping you from getting one if you want an unbiased estimate of your home’s current market value from a licensed appraiser.
- Consider the market trends: Understand whether your local area is a buyer’s market or seller’s market. When demand exceeds supply, sellers get more leverage. This means you may be able to price your home slightly above market value and still get offers.
- Weigh discounts: Overpricing slightly gives you room to negotiate down versus starting too low– but don’t over-inflate. Your realtor can help you walk the line and find a good balance. It’s also possible to negotiate on more than just price. For example, you can offer concessions like paying for the buyer’s closing costs.
- Recognize renovations: Upgrades like a fully renovated kitchen can justify pricing somewhat higher than older, more outdated homes.
- Don’t take it personally: It’s important to stay neutral about what you think your home is worth. Focus on getting the highest possible profit rather than trying to earn back every dollar you spent or invested. Buyers don’t know or care what you have into it.
- Factor in competition: If many similar homes are for sale nearby, you may have to price slightly lower to stand out and appeal to buyers.
- Trust your realtor: Remember that your realtor knows the market and has your best interest in mind. They’ll do what’s necessary to ensure you walk away with top dollar.
While it can be disheartening to see your home sell for less than you hoped, an overpriced house that never goes off the market is an even worse outcome. Be realistic when pricing your property, and you’ll maximize your chances for a fast, lucrative sale.
Get Top Dollar For Your Home in Hamilton With Us
Sell your house in Burlington, Grimsby, or Hamilton and get top dollar when you work with Steve Augustine and Your Home Sold Guaranteed Realty Elite - The Augustine Team. Our team has developed a reputation as the best realtor due to our quick home sales and ability to negotiate the best prices for our seller clients.
Our track record proves we’re the best realtor in Hamilton– on average, we sell homes three times faster than our competitors and for 4.4% more profit. Home sellers also love working with us because we offer unique seller guarantees like our Guaranteed Sale Program.