You certainly want to get the best price for your house or apartment. To achieve this, you need to have a precise overview of the market in order to determine the right price range.
Their goal: The best price
Real estate is highly individual. This makes it difficult to determine its value. When selling existing properties, the achievable price depends solely on market demand, which can vary greatly depending on location, property type, and the time of sale.
Setting the right asking price is one of the most important steps in preparing to sell a property. If the price is too low, you're giving money away. If your asking price is too high, you'll scare away potential buyers. Only when your asking price is within the right range will you be able to generate enough demand to find the buyer who specifically wants to buy your house and is therefore willing to pay the best price!
Negotiation leeway
You have probably heard from acquaintances or friends that real estate prices are always a matter of negotiation.
That's correct!
Every buyer will weigh up the advantages and disadvantages of the property, consider what renovations or alterations are necessary, and assess the associated costs beyond the purchase price. Naturally, the potential buyer's personal financial resources also play a role.
Furthermore, every buyer wants the peace of mind of having negotiated a good price. Give the buyer that feeling and plan for some room for negotiation from the outset.
But caution is advised! If you set your asking price far too high from the outset, only to later offer a 20% or even greater discount, many potential buyers will be deterred by the exorbitant demands and won't even bother viewing your property. Furthermore, you'll undermine your credibility if the price is completely unrealistic. Interested parties will question whether you are truly serious about selling your house or apartment.
Appraise
Sometimes it can be useful to have a property valuation report prepared. For example, in inheritance cases where the heirs cannot agree, in divorce proceedings, or in custody disputes, an appraisal can provide certainty. However, property valuation reports are relatively expensive and do not guarantee that the determined value will actually be achieved.
Valuation criteria
Important criteria include:
- The location
- The plot size
- The proportion of communal areas
- The living space
- The type of property
- The equipment standard
- The year of construction
- Renovations and improvements carried out
- The market supply
- Included in the sale
- Sources of information
Get an overview of the market. Compare current listings. However, consider the differences in the points mentioned above. Not all terraced houses are created equal. Read the real estate section of the newspaper, check notice boards, and do online research. Gather important data. Land value guidelines and reference values are available from the local valuation committee or your real estate agent. Remember to apply these guidelines to your property. Ask around in the neighborhood. If you can gather reliable information this way, it will be invaluable.
But be careful: the information you receive won't always be entirely truthful. Buyers tend to understate the price for fear of having overpaid. Sellers, on the other hand, often quote a higher price to avoid suspicion of having sold their property for a song. So pay attention to the reliability of your source.
Professional market analysis
If you're unsure what price to set for your property, seek professional advice! The price you list your property at has a decisive impact on the success of your sale. Too low means a quick sale but wasted money. Too high means little demand, a long sales period, and ultimately less money. The property will appear as a "white elephant.".
Professional real estate agents or some appraisers will gladly prepare a comprehensive market analysis for you. This will provide you with the urgently needed information and help you achieve the best price. Ask them to explain in detail which data the analysis is based on.
Tip: A professional valuation is the foundation of a successful sale. Don't cut corners here. Mistakes made in this area are almost impossible to undo!
Negotiating position
To avoid making immediate concessions during price negotiations, it's advisable to offer fixtures and fittings as an "extra." For example, leave the fitted kitchen out of your initial calculation. This allows you to "add something extra" during negotiations. No one can precisely determine the price of a property! The price is determined by supply and demand. If someone tells you your property is worth exactly X amount, be cautious. However, a professional appraisal can provide you with a fairly accurate price range that can be achieved within a reasonable timeframe.
