Place, Demand and Economy
To have an unbiased market value of your property, it is advisable is to engage professional assessors. They are trained professionals whose advice you can rely on and have no financial interest in the sale They are experienced in the real estate market to know the recent values and how much properties in the neighborhood have been sold without the danger of having any financial interest in your property. You can use the value that they give you as basis for the accuracy of the assessment that your would-be real estate agent will give you on your property. Your agent must be aware of the prices in the market for properties such as yours. Let them explain to you how they arrived at such a value using the Comparative Market Analysis. Market conditions such as interest rates, inflation rates and any other factors affecting the economy should also be factored. If changes in the economy influence the market, then the property values also changes. This should also be factored in when giving the price for the property. Your potential buyers too, should also have a fair knowledge of your house’s worth, probably having seen every other house for sale in the area. Be aware however that it is in their interest to get it a lower price; so don’t feel pressured into accepting a low offer.
You should not be surprised to find that the prices arrived by different real estate agents would be different. Make an attempt to find out whether the prices are reasonable. There are real estate agents who would quote a high price in the beginning in order to make you employ him and give him high rate of commission. After bargaining and compromising for months, you will find that your property is being sold for a low price (maybe lesser than the prices quoted by the agent). Since your property was listed with a price way beyond its value, it made its attractiveness in the market drop and lose potential buyers.
Seek the right purchaser
When you have decided on the price for your house, the next thing to do is to attract the buyers who would be seriously interested in your house. There are a lot of techniques to make them look twice at your house, but it does not prove that they are the right ones to buy it. Posting your property at a lower amount may usually lead to getting the lowest amount for your property since the buyers that you attract only have a limited budget for buying property. Whereas if you stick with the market value to price your property, the buyers that you attract will be the ones who can afford that much and will not haggle so much about it. More viewers don’t automatically mean they will be converted to buyers. Quality is certainly better than quantity when it comes to finding potential and serious buyers. If you have a good agent and trust them, then work closely with them to get you the highest possible price.
Net Cash Proceed
You will want to know the amount of cash proceed you can get by selling your property once you established the selling price of your property. Start with the lowest price you are willing to accept (though hopefully you will receive more than this) and take away the outstanding loan, CPF & accrued interest, agent’s commission, legal fees and any other related costs. If you plan to buy another property in another location, then this is also included in the expenses.
Kindly contact Kris Ang @ 9222 9919 if you want to know the valuation of your property.