There are 2 common ways of pricing homes for selling. The first one is CMA or Comparable Market Analysis, and the second is Rebuild Cost.
Most agents use CMA to compare the houses in the market and see how they are doing. The Rebuild Cost is computing the amount it costs to rebuild the house.
But there is a better approach to price your home the right way, and there are 3 factors involved in doing it.
1. Understand Your Current Market
The best way to look at this is to find the micro-market for your home style and get a lot of data about it.
Don’t just look at a community and see the stats as a whole. Ask your agent to niche down the data for houses with the same style and specifications as your home.
2. Using a Lot of Data
As a brokerage, we use a scattergram to visually present data to our clients. We pull 1000 days back worth of information and compile it to help sellers understand where the current market is at.
Looking at that much data in a micro-niche type of market will help you understand your home’s current pricing.
3. Use a Program Called Homebeat
Homebeat provides information to help you and your agent to watch the market. With Homebeat, you can see stats per period like a month, six months or 12 months so you can have a pulse on the market while you're preparing to sell your home.
Even if you have an agent to help you, you need to have at least a general idea of what the market is doing.
Email us at email@example.com, and we will help you set up a Homebeat for your home. This will give you the stats, sales, actives, and the sense of what is happening in the market before saying here's what my house is worth.
If you have questions about these 3 critical factors or need our help in preparing your home to sell, give us a call at 587-316-5400 or email us at firstname.lastname@example.org. Our team is here to help you however we can.