The importance of setting a fair selling price for your home

The successful sale of a home often depends on small actions. Setting a fair selling price is usually one of them.

And the fact is that setting a selling price in line with the current market can mean the success or frustration of the operation.

This “small” detail could be responsible for a quick marketing and with the maximum benefit for the owner or, on the contrary, imply a long sale with an unfair profitability.

From KM2 Real Estate Services, we want to expose and share with all of you the consequences of setting a price too high or too low so that you are aware of both scenarios.

Consequences of setting the price too high

Trying to sell a property at a higher price than it should be sold for is a big mistake. The main reason for wanting to set a high value is mainly due to the owner’s conviction that he/she will make a higher profit. 

Doing so could have the following consequences:

1. Scare away potential buyers.
2. Giving prominence to similar properties in the same area that are at a lower price.
3. Lengthening the sale process and not receiving offers.
4. Being forced to lower the price over the months.
5. That buyers detect this price drop and have the impression that the property has a defect.

Consequences of setting the price too low

Although we may think that setting a price too low is the perfect formula for selling a property in less time, it doesn’t have to be that way.

In fact, this tactic can actually work against you. Selling a house below market value can confuse the buyer.

What are the consequences of this decision?

1. Giving the impression that the house has some hidden flaw that justifies such a low price.
2. That the property is being discredited.
3. That it is unfair to the owner. If you really manage to close the sale, you will be getting a lower profit than you deserve.

In short, the closer the sale price is to the value dictated by the market at that moment, the better. Since a higher profitability will be achieved in a much shorter period of time.

When it comes to price, there is not much margin for error. That is why it is so important to rely on good professionals who know how to guide and advise you in every step.

This is the only way to achieve your goal with the best guarantees and conditions.

Do you want to bet on a fair, profitable and hassle-free sales process? Do not hesitate to contact KM2 advisors. You can do it in our real estate agency in Barcelona or Madrid, we will be happy to help you!