Northern California Home (NCA Home)

NEIGHBORHOODS

SCHOOLS

BUYERS

SELLERS

INVESTORS

LOAN CENTER

HOME INSPECTION

CLOSING

Setting the Sales Price

In this declining housing market, setting the sales price can be difficult. Some sellers price too high, and end up "chasing the market" down. For clients/prospective clients of NCA Home, before setting the sales price of your house, a Home Value Report can be run that will show the listing price of similar houses in the area as well as the prices at which the houses actually sold.

Next, set your goals in selling the house. Everyone who sells a house has different goals that need to be factored in when calculating the selling price.

Is your goal to get the maximum sales price for your house?

If so, are you willing to have your house on the market longer?

Is your goal to sell your house quickly?

If so, are you willing to sacrifice some of your potential profits to sell more quickly?

Would you like to establish a balance between selling your house quickly and selling at the top end of market value?

The features and overall condition of your property affect the sales price you can expect. A few changes/repairs can sometimes make the difference in attracting buyers.

Market conditions will play the most important role in setting the sales price of your house. Market factors include existing housing inventory in your price range, local market and pricing tiers, interest rates, the strength of the local economy, overall market and economic fears, etc.

Moreovery, if your sale is a distressed sale or "short-sale", selling conditions for you are even tougher. Currently, over 50% bof all sales are distress sales (primarily REOs or short-sales). The downturn in the housing market has severely impacted sellers, both as to price and length of time on the market. Below are two California housing charts that describe the magnitude of the distressed sale problem, with the most current annual figures compiled for the year 2009.