Proper pricing is a crucial step when you sell a house. Consider for example how much you invested to buy the home of your dreams at The Club at Ibis. Now that you want to put your luxury property back for sale in the West Palm Beach real estate market, can you recoup and profit from your original investment?
The good news is that houses in a highly coveted location like The Club at Ibis generate interest from high-end buyers. The challenge is determining the right price tag to attach to your listing because how much you ask for your home can make or break a potentially lucrative sale.
Running a comparative market analysis with your agent
In any real estate sale, the market is the primary factor that determines how properties are valued and priced. Instead of simply attaching any arbitrary or your preferred selling price to your luxury home, you should first find out what buyers are willing to pay for a property like yours if you put it on the market today.
The best way to arrive at a reasonable, market-based asking price is by doing a comparative market analysis (CMA). With assistance from your trusted local real agent, compare the final sale prices of recently sold homes deemed similar or comparable to your property.
Similarities that are considered in a CMA typically include the location, size (total square footage, lot size, number of bedrooms and bathrooms) and amenities, and the age and condition of the properties.
Canceled sales and expired or pulled listings also provide useful information. Failed transactions can shed light on crucial mistakes that you can avoid in your selling strategies and actions.
Selling the dream: Why pricing luxury properties involves more than just a CMA
When it comes to luxury properties, however, pricing goes beyond comparing square footage, the number of bedrooms, and other base specifications.
This is because no two luxury homes are the same. Each one is built to the specifications and interests of its owner to capture a specific lifestyle.
Consider the following as you evaluate your luxury home’s most attractive qualities:
- Prime location – Highlight the proximity and direct access to championship golf courses and lavish clubhouse amenities, impeccable landscape and waterfront views, and other similar advantages of your address.
- Distinctive amenities – Does your luxury property have custom-built living spaces or recreational rooms custom-built? Did you upgrade to high-end finishes or top-of-the-line appliance systems? Are there outdoor living or entertaining spaces worth showcasing?
- Club membership perks – Enumerate the lavish lifestyle amenities that come with membership at The Club at Ibis. Highlight the diversity of available experiences that appeal to different personalities and interests.
- History – In some cases, homes earn their “luxury” tag due to a unique story or provenance. The property may have previously been owned by a notable celebrity or a local historic figure. Perhaps it was designed in part or in full by a notable architect or interior designer.
When selling a luxury home, you “sell the dream.” What is it about your home at The Club at Ibis that makes it singularly unique and desirable among so many other luxury properties in West Palm Beach?
The more aspirational you can make your home appear, the better you can justify a premium asking price for it.
This is why it pays to invest in top-rated professional staging and photography. More than just rearranging furniture and taking high-quality pictures, these experts can create promotional photos and videos of your property to tell a complete story—teasing the kind of lifestyle that the next owner can embrace if they purchase your home.
Why you should avoid overpricing your home
Attaching sentimental value to the place you call home is a normal and inevitable instinct. Still, you need a great degree of restraint and objectivity to decide on a final asking price.
While you want to profit from your home sale, you must also avoid overpricing. Overpricing is one of the biggest mistakes you can make as a home seller.
Buyers are always on the lookout for deals that give them the best value for their money, especially if they are paying top dollar for a luxury house. Serious interest in your property can wane within two to three weeks if you overprice.
If your listing stays unnoticed on the market for too long, you will need to make a drastic price cut to revive interest from buyers. However, because you have shown that you were willing to reduce your price, buyers will be more aggressive with their negotiations.
In the end, you might have to settle with a final sale price that falls below your expectations—and even the actual value of your property. This is a huge price to pay for starting with an unrealistic and unreasonable ask.
Make your home stand out in The Club at Ibis real estate market with The Telchin Group
Need help pricing your luxury house at The Club at Ibis? Compare West Palm Beach house prices with assistance from Mr. Ibis himself, Eric Telchin. Call 561.301.0249 or email Eric(at)TheTelchinGroup(dotted)com today to learn more about The Telchin Group’s top-grade professional services.