If you own a home, you’ve probably had this question: “How much is my home worth in today's market?” or “Should I fix up my home or sell as is?” The truth is, so many factors go into determining the list price and value of your home!
In real estate, the list price is the price of a home set by a seller and their listing agent, if they have one. There are a number of factors that go into determining a suitable list price. If you’re selling your home, pricing it correctly can be the biggest and most important factor in a successful sale!
Let’s take a look at some factors that help a seller set a list price. Location plays a big role - access to good schools and public amenities like parks are taken into consideration. A home that is on a busy, multi-lane street might be priced differently than one that is in a quiet neighborhood. Crime statistics are also considered under the location category. The location of the home also plays a role as the seller can look at the list price of homes that recently sold in the area.
One of the biggest factors of list price is the condition of the home. It is obvious that an updated home will be listed for higher than a home of the same size and location with poor condition. Sellers can have a hard time knowing if putting the time, effort, and money into upgrades before listing is worth it. Upgrades and updates to the home can be big or small: new carpet, new appliances, fully renovated bathroom, new siding or paint, etc. Making a home move-in ready is often sought after, and this status can be reflected in the list price of a home.
While this is just an overview of what goes into determining a list price, all of these tell a buyer important information about the value of the home. The list price can tell you the amount of usable space in the home, what type of street it sits on, information about the yard and outdoor space, and more. A higher list price means more value - like a bigger, updated home, in a good neighborhood. A lower list price will indicate less value - perhaps on a busy street, with less square footage and no upgrades or updates.
In a competitive housing market, the value of the home will make a big difference in your list price. At HouseAmp, we help you renovate before selling and make it easy for you to improve your home value to reduce low ball offers. We want to help you sell your home for the best price! Apply for a pay-at-close loan to help pay for your improvements at a very affordable rate, and you won’t have to pay it back until your home sells. We will also connect you with the best service professionals in your area. HouseAmp can help you improve home value through upgrades, landscaping, staging, and more! There’s no doubt that an increased home value leads to a higher list price and less low offers.