When you put your home on the market, one of the best ways to decide on your asking price is to look at comparable sales. There’s rarely a perfect one-to-one comparison available, so a pricing decision will often rely on comparisons to several recent sales in your area. Here are five key criteria to look for in a real estate sales comparison.
- Location: When you’re deciding on an asking price, comparing your home to another in the same neighborhood is a good start. Comparing it to homes on the same street or block, though, is even better. Homes in the same localized area often follow the same market trends.
- Date of sale: It varies by location, but housing markets can sometimes see a great deal of fluctuation in a relatively short time period. That’s why it’s best to use the most recent sales data available, so stay on top of the market and keep yourself informed.
- Home build: When considering a potential sale price, run the numbers. Look for homes with similar numbers of bathrooms and bedrooms, architectural styles, square footage, and other basic stats.
- Upgrades and features: Remodeled kitchens and bathrooms can raise a home’s price, as can less flashy upgrades like a new HVAC system or roof. Be sure to look for similar bells and whistles in recent sales in your area.
- Sale types: Homes that are sold as foreclosures or short sales are often in distress, so they’re sold at a far lower price point than they would receive from a more conventional sale. These homes are not as useful for comparisons.
- Find a Great REALTOR® through RealAgents.ca: Have confidence that you have found a real estate agent that has the right experience to price and sell your home for the highest value.