A new property report released in April 2024 has highlighted the biggest mistake you can make when selling your home.
Estate agents across Plymouth report that the city’s housing market is still very price-sensitive.
That makes it crucial that if you are thinking about moving, your home is priced correctly.
Lang Town & Country highlighted months ago how homeowners in Plymouth could be losing thousands of pounds on their properties due to incorrect valuations by estate agents.
Over-inflating your initial asking price can have hugely negative consequences. And according to a recent study, homes that required one or more price reductions in the last 12 months sold for less money than homes which required no reductions.
Finding out how much your house is worth is also one of the 10 questions you need to ask your estate agent before moving.
What happens when a property is priced incorrectly?
Now, a new report by GetAgent shows that only 36% of all homes which have had asking prices cut this year are now listed as sold subject to contract (SSTC).
Figures show that across England, an estimated 34% of total for sale stock (excluding homes already marked SSTC), have seen asking price reductions since being put on the market.
Here in the South West the percentage was slightly higher, with 40% of all homes to have reduced in price finding a buyer.
How incorrect pricing can affect your sale
If a property is priced incorrectly, it can have hugely negative consequences for you as the seller.
Paul Preen, Managing Director of Lang Town Country, explains: “Overpricing your home may scare buyers, thinking that they’re dealing with an opportunistic seller.
“You may be open to the possibility of selling for less, but a buyer may not even bother looking at it if the home is overpriced from the start.
“Inflated valuations will often deter potential buyers, who may perceive the property as overvalued and unaffordable. This can in turn lead to longer time on the market, resulting in increased costs and reduced interest for the seller.”
Find out more about how we price your property.
Why incorrect pricing of properties is “helping nobody”
Colby Short, co-founder and CEO of GetAgent.co.uk, says: “It has always been clear from data that pricing a property inappropriately makes a successful sale far, far less likely.
“For a buyer, seeing a price come down makes the property seem less appealing and often leads to a lower selling price than if the property had been priced appropriately from the start.
“For a seller, these unrealistic expectations often mean disappointment with a result that may still represent a job very well done by the estate agent.
“Unfortunately for agents and for the vendors, vendors mainly select agents based on the valuation provided or the fee charged which often leads to overvaluing of properties and ends up helping nobody.
“Using performance data to prove an agent’s superior quality allows the agent to build trust from the outset, price the property accordingly and charge a fair fee for the job done.”
How can I make sure my property is the right price?
There is a degree of psychology involved when selling a property, and pitching a home at the correct price is part of this process.
Paul Preen explains: “One of the most important factors is to do your research on the local market and the estate agents.
“Look for agents who continually reduce their stock in price, ask people you know have recently sold their properties or had dealings with local agents and look for Google reviews on people’s experiences.
“And don’t forget, if it sounds too good to be true, make sure to treat it with caution!”
How do I get in touch with Lang Town & Country?
If you’re thinking about selling your home, your first step should be to get it valued.
Please do contact us and we’ll be more than happy to offer advice and a free valuation of your home.
Plymouth Sales – 01752 256000 / Property@langtownandcountry.com
Plymstock Sales – 01752 456000 / Plymstockoffice@langtownandcountry.com
Waterside Office – 01752 200909 / Waterside@langtownandcountry.com
Lettings – 01752 201010 / enquiries@langtownandcountry.com
Land & New Homes – 01752 278499 / newhomes@langtownandcountry.com
