If someone wanted to buy your home, how much do you think it is worth in today’s market?

Dated: July 1 2021

Views: 63

Victoria is a hot seller’s market right now and the benchmark house price is at an all-time high. A seller’s market is when demand is greater than current supply. Victoria has some quick moving and serious buyers coupled with a shortage of inventory, so this is a fantastic time to be a seller if you have been considering selling your property. Putting your home on the market right now usually means it will sell very quickly, and could even result in multiple offers. Oftentimes in a seller’s market, many homes will sell above the asking price.

 

However, setting a realistic price for your home that reflects Victoria’s current market values will help sell your home quickly and for a price you are comfortable with. When a home is priced properly, it increases the chances that the offer you receive will nearly match your asking price, and that there could be competing offers which might lead to more than what your home was listed for.

 

A home typically has the best chance of selling within 50-60 days on the market. The longer a property stays on the market, the less it may sell for. Sellers will usually over valuate their homes 5-10% above current market value if they firmly believe their home is worth more than what the market indicates, or if they want to leave room for negotiation. Either way, if a seller decides to over-price their home, they run the risk of increasing the amount of time the home spends on the market, which could decrease the final purchase price later on.

 

It’s important for sellers to get a comparative market analysis (CMA) to see what prices are being set in the current real estate market. A CMA is an estimate of a home's value used to help sellers set listing prices, and to help buyers make fair offers based on the current housing market. The analysis considers the location, age, size, construction, style, condition, and other factors for the subject property and comparable properties in the area. If you're a buyer or seller interested in knowing more about the value of a specific property, a real estate agent can research and compile a complimentary CMA for you.

 

A CMA helps sellers choose the best listing price for their home. The best price is one that's not so low it leaves money on the table, and not so high that the home doesn't sell at all. For buyers, a CMA can verify if a home is a good deal and help pinpoint a competitive offer that will be taken seriously without going over budget. Additionally, a CMA compares a subject property to other homes that are similar in location, size, and features. Ideally, a CMA compares active, pending, recently sold and expired homes within the same neighbourhood as the subject property. Finding sold homes in Victoria these days is the easy part, but finding comparable active listings in the same neighbourhood is practically a goldmine right now!

 

As you research more about selling your home, remember that the knowledge, care and skills of your chosen and trusted Realtor will be invaluable when determining an appropriate asking price. It is our job as licensed and registered Realtors to know the current Victoria housing market as well as market trends in Victoria, in our province, interprovincially and in Canada. If you haven’t yet decided on a Realtor, I would love to help guide you through the process of selling your home. 

 

Get your complimentary home valuation (CMA) to see what your home is worth today!

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Jemilla Khan

Jemilla is a residential REALTOR® in Victoria, BC. She serves the communities of Victoria, Oak Bay, Esquimalt, Victoria West, Saanich West, Saanich East, the Westshore and more. Previously to getting....

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