3 Home Pricing Myths You Might Believe

If you’re like most people selling a home in Lakewood or Long Beach, you want to sell your house as quickly – and for as much money – as possible. But if you’re like most people, there are a few home pricing myths you probably believe.

3 Home Pricing Myths You Might Believe

Whether you’ve sold one home or ten homes, check out these common home pricing myths that most people believe:

• You always make money when you sell a house

• You can overprice your home and lower it later with no consequences

• You’ll make back the money you spent on renovations

Home Pricing Myth #1: You always make money when you sell a house.

Not everyone walks away from a home sale with a big stack of cash. Although real estate tends to appreciate over time, many factors go into how much your home is really worth. Sometimes you have control over those factors – like by making modern upgrades or ensuring you have fabulous curb appeal – but sometimes, you don’t. Your neighborhood, what your neighbors sold their home for, and even other developments nearby can affect your home’s value.

And the bottom line is that your home is only worth what someone is willing to pay for it.

Home Pricing Myth #2: You can overprice your home and lower it later with no consequences.

It’s essential that you price your home properly right out of the gate. If you overprice it, you have two strikes against you: You’ll miss out on prospective buyers who are searching online, and you’ll attract prospective buyers who will think your home is lacking at its current price.

Most people search real estate listings online according to their budgets. If your real estate agent tells you that other homes like yours have sold for $500,000, but you price it at $550,000, the people who would’ve snapped it up for $500,000 won’t even see it – they’re not looking at homes that cost $550,000.

The people who do find your home online (because they’re looking at other $550,000 homes) will look at yours and wonder why it doesn’t have the bells and whistles – or the larger square footage, or more bathrooms – that the other homes in that price range have. They’re not going to be interested in your home when they could get more for their money in another home.

Home Pricing Myth #3: You’ll make back the money you spent on renovations.

Not all renovations and home improvements pay off at the closing table. Sometimes you’ll get a return on your investment, like when you’ve added another bedroom or you upgraded your outdoor living space. But things like a new HVAC system or a new roof don’t count for buyers – they view those things as routine maintenance, so you won’t recoup your investment on things like that.

Are You Selling a Home in Lakewood or Long Beach?

If you’re selling a home in Lakewood or Long Beach, we can help. Call us at 562-882-1581 to find out how we’ll market your house to all the right buyers so you can sell it quickly and at the right price.