Top 7 Signs That A Luxury Home Is Over Priced
When selling a luxury home one of the most critical aspects is setting the right price. Set a price too high and the home will sit on the market for too long with very little interest. When buyers see an overpriced home they generally will ignore that home as not fitting in their price range. Once the price does come down the home might have been on the market for too long and buyers will assume there is something wrong with the condition of the home. Either way a larger price reduction will be needed in order to get a buyer interested enough to make an offer. This article looks at some of the common signs that indicate a luxury house is overpriced and some tips on how to avoid that.
Price Is Based On What The House Was Bought For
Just as a homeowner will not price a home very low because they bought it thirty years ago when prices overall may have been lower, homeowners should not be pricing high based on what they recently paid. Prices may have been higher than they are today when purchased but that does not always mean the price of the home will go up as well. Home values can go up or down depending on a number of factors. If a particular area has experienced a large outflow of employers and jobs resulting in lower overall demand for housing in that area then the high price for a home based on past purchase will not make sense. Real estate is all about location and the local economy.
Price Is Based On Upgrades Made To The House
Just because a homeowner added a pool or upgraded the kitchen and bathrooms to luxury quality...
Tips For Selling Your Luxury Home Safely and Securely
When selling a luxury home there is the chance you will get people who are interested in the home that are not qualified nor are they interested to buy the home but instead due to curiosity have a desire to tour what a luxury home actually looks like. Even more so if the owner is a local or national celebrity the desire becomes even greater for those who wish to see how that celebrity lives rather than any true interest in buying the home they live in. This article explores some of the ways luxury homeowners can help ensure those who come to see the home have an actual interest in buying the home and can afford it.
Require A Mortgage Pre-approval Letter Prior To Showings
This is one of the sure fire ways to make sure only those who want to see your luxury home can actually afford to purchase the home if they like it. While pre-approval letters are not 100% guaranteed in that buyers have been known to lose their pre-approval status prior to closing based on things they do they do serve as a good guide that the buyer who has a pre-approval letter for your million dollar luxury home can indeed afford to purchase it and therefore should be allowed to view it. This will keep non-serious buyers and those just wanting to tour luxury homes for the sake of saying they have been in a luxury home from wasting a home seller’s time. Home sellers have to go through a lot of preparation work in order to make sure their home is presentable to buyers so that the buyers leave impressed. Getting a home ready for buyers...
The Best Marketing and Staging Tips For Selling A Luxury Home
As with anything luxury related everything about it must be truly elevated in order to be considered luxury in status. Luxury homes are no different and the marketing and selling of a luxury home likewise needs to be elevated so that the buyer knows the home they are considering purchasing is truly worthy of luxury status. Any lack in the presentation of the luxury home can result in the home sale falling flat and not getting noticed by the right buyers which will then require the home seller to resort to more drastic actions in order to get sold. This article explores what is needed in terms of marketing and staging for a luxury home to see the best results.
The Basics Of Selling A Luxury Home
Before one considers selling their luxury home they need to start with the basics that are within the homeowner’s control. The primary areas the homeowners need to consider are the presentation of the home and the price. Presentation is always critical since regardless of the price a home that is outdated, shows signs of wear and tear, looks like a “project house” will not make the best impression on buyers who ultimately will be the future owners of a home. Project houses mean the new owner will have to invest in updates and upgrades in order to bring the home up to current standards and that usually means the project home better have a discount to reflect the investment the new owner will have to make. No discount will mean no sale since buyers can find plenty of other properly priced homes that are in up to date condition....
What Are Some Hot Trending Luxury Home Features
Whether you own a luxury home and want to make sure it is the best it can be, you are shopping for a luxury home and want to have the latest features in the home you buy, or you want to elevate your current home with some luxury features this article looks at some of the hot luxury home trends that are in demand now. Whether it be the latest and greatest in smart home technology, premium finishes or open floor plans, luxury homes set the trend for what all residential real estate aspires to. As features make their way into luxury homes many home builders and remodelers quickly get to work to figure out how to make those features available to anyone and everyone who would want it. This article explores some of the hot luxury home trends that are available now and in demand.
Gourmet or Second Kitchen
Whether they like to cook or not luxury homeowners and gourmet kitchens have a tendency to go hand in hand. Gourmet kitchens are setup with premium appliances, efficient and easy to use cooking and preparation spaces in mind. While the gourmet kitchen setup might be appealing to the professional chef many luxury homeowners opt for the gourmet kitchen in order to add to the appeal of a home that has it all. Gourmet kitchens will have oversized refrigerators, heavy-duty stoves with multiple burners, multiple ovens, warming drawers, multiple dishwashers, wine chillers and more.
In luxury homes where there is plenty of space to expand a home’s footprint (suburban areas versus urban areas) many luxury homeowners are opting to have installed a second full kitchen. These kitchens are...
Should I Stage My Luxury Home When Putting It Up For Sale?
Luxury homeowners may wonder if it makes sense to stage their luxury home when putting it up for sale. For homes in need of it, staging of a home can boost buyer interest and can result in a better or faster offer on a home than one that is not staged. The primary benefit from staging comes from the fact that the product being sold (a luxury home in this case) has its presentation elevated in order to make it more appealing to luxury homebuyers. Just as with anything to be sold and that requires great marketing, a better looking home will sell easier than the same home if it were not staged. To determine whether staging is right for your luxury home it helps to start with exploring what home staging actually is.
What Is Home Staging?
Home staging covers a variety of aspects of a home. It can address paint colors, furniture choice as well as placement, décor pieces, wall art and more. The goal behind home staging is to make the home more appealing to home buyers. While most of the furniture and staging items used during the process of selling a home will not stay with the home the idea is to give homebuyers a better idea of the potential of the home and make it look more appealing at the same time. Home staging calls for neutral colors so that buyers are less distracted by colors that don’t meet their expectations and instead lets them envision the home as they would...
Recovering From An Expired Luxury Home Listing
An expired luxury home listing can be a frustrating experience considering all the time and effort involved to have a home on the market for sale. The constant need to keep the home in ready to show condition for three, six or more months can be draining on the homeowners. There are many issues that can account for a luxury home not selling and this article explores those issues in depth and provides some insights for luxury homeowners to help prevent the same situation from happening again.
Pricing Is A Major Factor
Pricing is one of the primary reasons a home will fail to sell. No matter how much money is spent on marketing, staging, photography and more an overpriced home has a huge stigma to overcome. Homebuyers have instant access to thousands of homes on the market each day and are able to compare homes in similar categories to determine if a home is fairly priced.
Homes that are overpriced stand out like a sore thumb. The reason the overpriced home stands out is because they are being compared to other homes in the same price range and the features, quality and size of those luxury homes are commonly shared statistics. If the home being sold is in the same price range as larger homes with more luxury features than most buyers will ignore the overpriced home or might schedule a showing out of curiosity to see if there is something in the home that warrants a higher price. Once homebuyers tour the home and see it does not offer much of over other similar priced homes they will quickly remove that home from any further consideration.
Homeowners can fall into the trap of using the wrong...
How To Make Your Luxury Home For Sale Stand Out Against The Competition
As is often the case there are a multitude of luxury homes available for sale on the market. As a result the luxury homeowner who is able to make their home stand out has a better chance of being noticed by buyers. By being noticeable for a home’s features or price means buyers will be ready to take the next step and visit a home in person which in turn increases the chance of a home selling. This article explores some excellent tips for how luxury homeowners can help their home shine above other homes on the market.
Pricing Is Critical
Getting the price of a luxury home correct is probably the most important thing a homeowner can do. If a home is overpriced homebuyers will not be interested in making an offer regardless the amount of marketing done for the home. Luxury homebuyers (and most homebuyers in general) are very judicious with their money. They do not want to overspend on a purchase where they don’t have to. The luxury homebuyers are also looking at multiple houses to see what can best fit their needs and therefore understand where homes are overpriced and where homes are correctly priced.
One of the best ways to obtain the value of a home is to have a third party appraisal done. With an appraiser providing the value of a home there is less likely for there to be the chance of a real estate agent inflating the price as a business acquisition strategy. An overpriced listing is not likely to sell very quickly and is more...
Selling a luxury home involves more than just listing the home on the Multiple Listing System (MLS) and hoping it will sell. This listing presentation is presented by Luxury Realtor Paul Sian and shows the way I will assist luxury homeowners to help sell their home.
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Download The Listing Presentation
Ready to get your home sold? Please contact me using the form below or call or text me at 513-560-8002 or email me at Paul@CinciNKYRealEstate.com.
What Can Happen When You Get The Price Wrong On Your Luxury Home
Setting the right price for a luxury home is one of the most critical aspects of selling a home. Setting a price too low and the homeowner is walking away from money they could have otherwise added to their own pocket. Setting a price too high and no amount of marketing will help get that home sold. The price of a home is determined by what a ready, willing and able buyer offers for the home. The amount invested into a home, the amount originally paid for a home or the amount owed on a mortgage does not really play into the actual price a home will sell for. Sure those items may factor into the homeowners equation as to whether it makes sense to sell the home or not, but it does not set a home’s price.
Take for example a high end luxury home purchased for over one millions dollars and located on a hillside with a great view of the city. If the home has been kept in excellent shape, updates been made as needed, repairs done on a regular basis then the home still will only fetch what the current market indicates. If the real estate market is strong and there are plenty of buyers then the chance of the home selling for more than it was purchased for may be good. On the other let’s say that same home had one quarter of the house shift downward resulting in major structural issues due to improper construction on the hill side. The home may have been purchased for more than one million dollars but due to the current condition no one will pay that much. While the hillside shift...
How Should I Price My Luxury Home For Sale?
Real estate pricing is one of those areas where it is not an exact science whereby a homeowner can point to certain aspects that a home has and then on that basis determine an accurate price. For instance a luxury home that has five bedrooms with each bedroom having its own bathroom, a four car garage, two kitchens, a pool, sauna and more could very well be priced lower than a three bedroom, two full bathroom home that is located in a downtown area of a large urban city. Due to space limitations and location exclusivity a smaller living space in New York could very well be priced higher than a larger more spacious home in Cincinnati, Ohio. Location is critical in pricing a luxury home as well as the features and amenities of the luxury home. This article explores some different pricing strategies luxury homeowners may face when listing their home for sale.
Overpricing A Luxury Home As A Strategy
Some homeowners and real estate agents believe that by overpricing their home for sale they are leaving themselves room to negotiate down towards the asking price. In fact this rarely is the case and often times by overpricing a home homeowners are preventing buyers who can afford the home from discovering it and coming to visit. Homebuyers search for home prices based on a number of criteria. The primary criteria for homebuyers are location, price, bedroom and bathroom count usually in that order. If location is not as big of a concern then price is still always one of the top search criteria for homebuyers.
A majority of ...
The Essentials Of Selling A Luxury Home
By applying the same template that applies to all homes for selling a luxury home may result in a sale, but it will also result in extra expenditure of time and effort. Since luxury homes require slightly different treatment than a non-luxury home the extra time and effort could be put to better use with the right marketing strategy. When the prices are high the resulting buyer interest is reduced and as a result finding the right buyer becomes a critical task to get the luxury home sold. The tips in this article take luxury home sellers through some essential areas that should be understood prior to going onto the market.
Luxury home preparation is one of those areas where what is done for other homes also is applicable here with some exceptions. Homes need to have clutter reduced, packed up and placed out of sight. Personalization of the home throughout should be reduced so luxury home buyers can envision themselves in the home and not see the home through memories of the homeowner. Exotic art, collections and more also should be packed away and moved out of the home to avoid further buyer distraction and/or damage to those pieces.
Luxury homes need to be cleaned, repainted and update as time and budget allow in order to get the maximum value out of the home. Luxury homebuyers today rarely come in looking for a project home unless a steep discount is involved. As a result updates should be made so that old out of style wallpaper is removed and fresh neutral in color paint is put up in order to boost the appeal of the home....
What Are Luxury Homebuyers Looking For In A Home
When luxury homebuyers are shopping for a home they come to expect certain features and amenities to be present in the luxury home. While the lack of these features might not be a deal killer it certainly will paint a picture in luxury homebuyer’s mind that a particular home may be outdated and as a result could also be overpriced. Newer modern features and amenities are what luxury homebuyers are looking for when they consider a home for their own living needs. If you are a home seller looking to boost the appeal of your luxury home to buyers then be sure to know about these features and amenities homebuyers want to see in a luxury home.
Modern Floor Plans
Modern floor plans are one of the main desires for luxury homebuyers. Modern floor plans represent large open spaces with high ceilings and plenty of large windows to allow natural light to illuminate the home. Rather than a home with multiple square or rectangular rooms interconnected with one or two doors only an open floor plan has wide entry ways and a flowing nature to the home that usually allows more than one way in or out of a room.
With the high ceilings found in modern floor plans, recessed lights are usually preferred due to their ability to light up large rooms and to be controlled in different sections as lighting needs to be adjusted. High ceilings also usually call for lighter colors in order to not darken the rooms thus making them feel smaller. Decorative LED based lighting may also be found throughout luxury homes that are used ...
How To Sell A Luxury Home For Sale By Owner (FSBO)
When it comes to selling a home for sale by owner (FSBO) there is a large amount of work for the homeowner to get right in order to have a successful sale. Add on top of that the fact a homeowner is trying to sell a luxury home on their own the amount of work then is much greater as well since luxury home buyers are expecting more than what is normally done for a non-luxury home. If a homeowner were to miss some of the critical steps/procedures required to sell their home FSBO or do something that would not normally be done with a luxury home (like hold an open house), the homeowner runs the risk of not only not selling their home but having to drop the price dramatically in order to attract buyer attention. With that in mind here are some tips on how best to sell a luxury home FSBO.
Pricing A Luxury Home
Pricing a luxury home is one of the most important aspects of the process. Price a luxury home too high and buyers will ignore your home since better values can be had elsewhere. Price a luxury home too low and while a quick sale will result, the homeowner will be walking away from money they could have instead put into their pockets. Sources like Zillow and their Zestimates are generally not that accurate when it comes for pricing a luxury home for sale. Zestimates are good for giving an estimated price...