How do you determine the value of your home as an FSBO seller?
More importantly, how do you set the sale price for your home to a value that is both appealing to the current market AND to you as the seller?
Calculate “After Repair Value” — The first thing you should do is determine the “true value” of your home. This means going to Zillow and looking at the sales price of homes similar (in size, number of bedrooms, quality, and location) to yours that have sold within the last 3-6 months. Those numbers will give you a good baseline number to start with.
Consider Unique Elements — Next you’ll need to consider elements unique to your property in both the negative and positive. Does your home have outdated appliances? Does it need repairs? Or is it in pristine condition? Outdated appliances and repairs will put your home value further from the “After Repair Value” you calculated… and a pristine home will be worth more.
Determine Your Timeline — How quickly do you need to sell? This will be a huge factor in determining your listing price. If you need to sell quickly, then opt for a lower listing price. If you have time to blow, then you might even price a little above market value.
Set Your Price — Don’t overthink it! After you’ve done the above, set a price that you’re happy with and that you think will be appealing to sellers. You can always change your price later if the home isn’t selling or if a bidding war begins!
Hope that helps!