If you’ve inherited a property and you’re planning to sell it, make sure you read this blog post for 3 tips about how to price your inherited home in Newcastle, Oklahoma for sale…
Did you inherit a property that you’re now thinking about selling? While an inherited property can be a wonderful gift from a loved one who has passed on, it can also (quite frankly) be a costly burden. So selling it makes sense and allows you to use the gifted equity for some other purpose. But selling an inherited property may not come easy to you, especially if you haven’t sold a property in a while. So here’s how to price your inherited home in Newcastle for sale…
Tip #1: Price Quick To Sell
Some people price their inherited property at an amount they think the market might pay for the house. However, there are many factors that go into this price and one of the biggest considerations is: how fast do you want to sell? Selling through an agent “on the market” can take months, and you’ll have to pay for the house and maintain the property the entire time. That can be costly and can eat into the higher price.
Many property owners quickly learn that they’re almost better off to price slightly lower for a faster sale… they might get less for the house but they also pay less on repairs, carrying costs, effort, and time, so it’s ultimately a trade-off that might turn out to be a total wash.
Tip #2: Avoid Pricing Based On Fond Memories Or Emotion
Pricing a home is a complex and emotional process. It is natural for homeowners to attach fond memories and sentimental value to their properties, which can make it challenging to determine an objective price. However, while memories and emotions are essential to us as humans, they should not play a significant role in setting the price of a home. Here are some reasons why:
- Memories Are Subjective: Memories are subjective, and their value is unique to each individual. What one person may consider a fond memory or experience may hold little to no value to another. This means that basing a home’s price on sentimental value is likely to be arbitrary and can result in over or under-pricing a property.
- Market Value: The real estate market is constantly changing, and the value of a home is based on market demand and supply. The market determines a home’s value, which is why it’s essential to price your home based on its current market value, not based on how much you may have paid for it or the memories you have attached to it.
- Appraisal Value: When selling a property, homeowners are often required to get an appraisal to determine the home’s value. An appraisal is an objective evaluation of the property’s worth based on factors such as location, condition, size, and recent sales of similar homes in the area. An appraiser will not consider sentimental value when assessing a property’s value.
- Overpricing: Setting an unrealistic price for your home based on fond memories can lead to overpricing, which can be detrimental to the home-selling process. An overpriced home is less likely to attract potential buyers and can result in a more extended time on the market, which can eventually lead to a lower selling price.
- Underpricing: On the other hand, underpricing a property can also be detrimental to the seller, as they may miss out on potential profits that could have been achieved with a more realistic price. Pricing a property based on sentimental value can lead to underpricing if the seller undervalues the home due to their emotional attachment.
In conclusion, while sentimental value is an essential aspect of homeownership, it should not play a significant role in pricing a home. Pricing a home based on objective factors such as market value and appraisal value is more likely to lead to a successful sale and ensure that the seller receives a fair price for their property.
Tip #3: Build In Discounts For Repairs
If you inherited the property from a loved one who had lived in the property for many years then you might find out that the property needs some repairs. You could choose to do this work yourself and then ask for a higher price but why do that when you could save yourself the time and effort (and what you’d have to pay for equipment, supplies, or a contractor) and instead just ask for less and give a “repair discount”. That way you avoid the hassle of the work, and you still come out the same financially.
Summary
An inherited house can be a lot of work so if you’re thinking of selling it, you’re certainly not alone. But how do you price an inherited house? These tips will guide you on how to price your inherited home in Newcastle for sale.