Pricing your home is the key to success!!!

Establishing the correct sales price for your home is the most important step in selling your own property. You should begin by making a few phone calls.

Determine the asking price of similar homes in your area which are currently on the market, and find out how long they have been on the market.  Also, find out the actual selling price of similar homes that have recently sold in your area.  Many cities have companies that provide this service, usually called a "market analysis" or "comparable sales report"; it is an inexpensive way to get started.  Many sellers will interview Realtors just to get opinions.

Now that you have an idea of value, hire a real estate appraiser.  The cost of a third party professional opinion is money well spent, it is an accurate assessment of the market value of your home and excludes the emotion and wishful thinking of the home seller.  Also, the appraisal can be a valuable marketing tool when buyers begin to question the sales price on the home.  Buyers are aware; they have been looking and generally know what a property is worth.  Buyers will not make an offer on an overpriced home. An appraisal takes the guesswork out of it for everyone.

Overpricing means you will spend time, money and effort and get nothing for it... except discouraged.  It’s a given that your home will sit there, unsold, all because you did not establish a fair market price.  Don’t forget that selling your own home gives you a tremendous pricing advantage.

More than likely the homes the appraiser used as comparables, and even the ones you have investigated, probably involved the costs of a real estate agent.  In other words, even though a house sold for $200,000, the home seller netted $10,000 to $14,000 less because real estate commissions were paid.  You can now price your appraised $200,000 home for $195,000, and probably sell it faster.  More importantly, you'll walk away from the closing with more money because of the competitive price.

More information can be found at:

http://homebuying.about.com/od/sellingahouse/a/Figureprice.htm