THEN, THE SALE
The appraisal 'principle of substitution' posits that most people won't pay more for a home, if they can get something similar for less. Isn't that what you do at the store?
Appraisers try to predict what buyers will pay (or not pay) for the presence or absence of differing features and benefits. Every house is different, and so is every market. Things that matter in one neighborhood may not be quantifiable in another. Nothing should be assumed.
Over pricing your house is probably more harmful than under pricing. A home that sits gets stale. Studies show you end up with less money than if the home had been priced right in the first place.
Under priced homes tend to correct themselves swiftly. An often used strategy is underpricing. A home listed a little below market will almost always generate multiple offers in a healthy market. There is less risk in underpricing than over pricing.
Most sellers tend to price high in order to 'leave room to negotiate.' The outcome of this tactic often is that your home will help sell your competitors. The risk is people who perhaps could have afforded your house won't even look at it.
Because buyers comparison shop (just like you), and because they tend to react to the presence or absence of certain features and amenities in a statistically predictable way, it is possible, given enough data, to quantify this reaction -- ahead of time. Make the right adjustments on the front end, and you avoid a pricing mistake altogether. Isn't that the most desirable thing?
This quantitative analysis, compiled by a professional, in an easy to understand way, is your best choice. If you want to be ahead of the market, do it by getting an appraisal.
A well-documented residential appraisal will always be your best protection, and the most reliable foundation for a successful sale.
Hire a Licensed Residential appraiser. Click the top right of the home page "Menu" for more information.