Sitting with a property that won't sell because it is price inaccurately is one of the biggest frustrations sellers face in 2019. Finding out what your home is really worth and pricing it accordingly is one of the best ways to warrant a quicker sale.
When buyers look for properties in your area, they will look at all the homes in the market, comparing your property to other listings to gauge the current market value - this is why realistic pricing is vital.
As with any other industry, market fluctuations and economic influences directly affect the price of a property. And as a result, many homeowners have had to lower their expected asking price.
When a property is 'over-valuated' it can waste precious marketing resources and create a negative stigma in buyers' minds - yielding a much lower return.
According to the most recent FNB Property Barometer, approximately 98% of sellers have reduced their original price to clinch a sale.
Statistics from the FNB Market Strength Index (based on Valuers' Database) further indicated that there is currently an oversupply in the middle to higher income areas. The average price drop, increased slightly from 9.0% in 2010 to 9.9% - keeping in tune with a market in favour of buyers.
However, the times that properties spent on the market improved, from 15 weeks in the last quarter of 2018 to roughly 14 weeks, much lower than the near 18 weeks in the third quarter of 2018.
While the property market is perceived to have experienced a slowdown, it has been attributed to a despondency surrounding the elections with an upturn expected towards the second half of the year - which should see buyers taking advantage of attractively priced properties in the higher price areas.
Bottom line, if the price is not right, it won't sell in the current market.
- Compare your home to other properties in the area. Find similar homes in the same neighbourhood that have sold in the last three months.
- Compare original listing/asking prices to sold prices. This will help to determine price reductions in your area.
- Look at market conditions, you might find yourself in buyers,sellers or neutral market. It is important to price your property competitively, according to these factors.
- Work with a reliable property professional. When you want to price your home for sale, it is recommended that you should work with an agent or agency that knows the market. They can help you navigate the property pricing and sale process - getting you the best price.
If you want to find out what your home is worth and price your property for a quicker sale, contact the dedicated agents at Engel & Völkers KZN Dolphin Coast for a free and accurate property valuation.