When selling a lake property, you always need to be aware of possible mistakes that can happen. Luckily, Glenn Phillips, CEO of Lake Homes Realty, gives insight into 5 common pricing mistakes. Not only does he mention what they are, but he also explains ways to ensure you avoid them.
- Trusting Websites Offering AVMs: Automated Valuation Models are essentially websites where you can input data and “find out” how much your home is worth. These are not real people and are simply automation algorithms. A lot of times, these websites are flawed. These tools are typically better suited for evaluating homes in subdivisions as opposed to lake homes spread around a lake.
- Using Prices of Currently Listed Properties: Just because you have a neighbor or friend listing at a specific price doesn’t mean you should use the same one. At the end of the day, these properties will still likely sit on the market, which typically means the prices didn’t work. The longer a property sits, the less money the seller will get.
- “I Need to Get…”: Oftentimes, a seller will have unrealistic goals for what their home is worth and will ask for too much money. Before putting your home on the market, you will need to understand what the market value of the property is.
- Emotional Reasoning: Being aware of what the market is saying about what a property like yours is worth vs. how you might feel emotionally. Just because you added certain features or made modifications to the home doesn’t necessarily mean it increases its value. Always see what the market says.
- Failing to Consult a Lake Expert Agent: This is one of the best ways to avoid any of these mistakes. Consulting someone who is an expert in this area will be beneficial to you in the long run. It might be tempting to use somebody who is a friend, but someone who specializes in this area is ideal. Lake agents have a better understanding of what it takes to sell in this market.
When it comes time to sell, there are plenty of ways to avoid these mistakes. It will ultimately help you in the long run and avoid a lot of stress. If you still have any questions or need guidance, check out LakeHomes.com. There are plenty of lake agents who would be thrilled to help you through your real estate process.