Determining what each particular piece of real estate is worth especially in the Okanagan is crucial. A well priced home often sells quickly once it is put on the market. Setting the proper asking price for your home is the single biggest factor that will determine the success of your home sale. The value of your property is determined by what a ready willing and able buyer will pay for it in the open market, which will be based upon the value of other recent closed sales. BUYERS DETERMINE VALUE!!
When your real estate is priced right from the outset, you maximize your opportunity of reaching the most qualified buyers and obtaining top dollar.

Benefits of Proper Pricing

• Faster Sale: The proper price gets a faster sale, which means you save on mortgage payments, insurance and other carrying costs.
  
• Less Inconvenience: As you may know, it takes a lot of time and energy to prepare your home for showings, keep the property clean, and generally altering your lifestyle. Proper pricing shortens market time.
  
• Increased Salesperson Response: When salespeople are excited about a property and its price, they make special efforts to contact all their potential buyers and show the property whenever possible.
  
• Exposure to More Prospects: Pricing at market value will open your home up to more people who can afford it.
  
• Better Response from Advertising: Buyer inquiry calls are more readily converted into showing appointments when the price is not a deterrent.
  
• Higher Offers: When a property is priced right, buyers are much less likely to make a low offer, for fear of losing out on a great value.
  
• More Money to Sellers: When a real estate is priced right, the excitement of the market produces a higher sales price in less time. You NET more due to the higher sales price and lower carrying costs.

Drawbacks of overpricing

• Reduces Activity: Real estate agents may not show the property if they feel it is priced too high or they will show it and use it as a comparable to sell a better priced listing.
  
• Lower Advertising Response: Buyer excitement will be with other properties that offer better value.
  
• Loss of Interested Buyers: The property will seem inferior in amenities to other properties in the same price range that are correctly priced.
  
• Attracts the wrong prospects: Serious buyers will feel that they should be getting more for their money.
  
• Helps the Competition: The high price makes the others look like a good deal.
  
• Eliminates offers: Since a fair priced offer will be lower than asking price and may insult the seller, many buyers will just move on to other real estate.
  
• Causes appraisal problems: Appraisers must base their value on what comparable properties have sold for. This affect’s a buyer’s ability to get financing.
  
• Lower net proceeds: Most of the time an overpriced real estate will eventually end up selling for less than if it had been properly priced to begin with, not to mention the extra carrying costs.

Did we get the Price Right?

There are really three things that can happen once your home is on the market.

1. If we have low to no showings: We have missed the mark price wise and we are in need of a significant repositioning. Realtors think we are over priced.
2. If we get showings but no offers: We need a minor price repositioning.
3. Bulls-Eye: Your home sells right away!