SETTING PRICE Pricing your house correctly is fundamental to achieving the best outcome. 2.1 What Affects My List Price? A number of factors are considered in assessing what affects list price. Garry and Mary will help you set the price based on your time frame for selling, comparable sales, market conditions, pricing considerations and incentives being offered. The pricing strategy must also be sensitive to the age and physical condition of the property. A well maintained house with recent enhancements, desirable upgrades, style and amenities currently popular will bring a higher price. A house that shows better will sell for a higher price than one that needs work. Keep in mind if the price is set too high, you will not get any offers. If your house is overpriced in the beginning, you may actually end up settling for a lower price. If the price is set too low, you could "leave money on the table" by not getting the full value for your house.   2.2 Market Conditions. Since the real estate market is continually changing and market fluctuations have an effect on property values, it is imperative to set the price based on the most recent comparable sales in your neighborhood. A Comparative Market Analysis will assist in making the pricing decision. 2.3 Comparative Market Analysis (CMA). A Comparative Market Analysis (CMA) helps in determining the sales price of your house. A CMA is a recap of the housing activity in the same or nearby neighborhood. A good CMA will take into account specific details (bedrooms, baths, square footage, age, etc.) for similar properties compared to your 'subject property'. Included in a CMA there  are 'active' listings on the market, 'pending' listings under contract, 'sold' listings that have closed, 'expired' listings that did not sell, and 'cancelled' listings taken off the market. While the CMA will list houses currently active as well as those that are pending, expired, or cancelled, it is those properties that have sold that give the most information. Asking prices will not be considered, but they do show the current trend in pricing. Closed sales show market confirmed prices. Sold listings yield specific information detailing what buyers are willing to pay for houses similar to your house. Because a CMA compares similar properties, it gives you a clear idea of current housing values in your specific housing market. Although the CMA is very important, it cannot be used as an absolute determination of value, since it generally does not put a lot of weight on the condition of the houses - an obviously important factor. 2.4 How Are Net Proceeds Calculated? The net sheet is a worksheet that estimates the 'net cash' from the sale. In order to derive that amount, the seller's settlement charges will be subtracted from the sales price. Some examples of settlement charges are the title policy, escrow fee, mortgage payoff(s), real estate commissions, property tax prorations, homeowner's association fees, recording fee and any other negotiated items. Garry and Mary will provide you with an estimate of your net proceeds. For more information or if you have any questions, please contact Garry and Mary at any time.