Deciding on the right asking price for your home can be challenging - get it wrong, and your property could be lingering on the market for months or go for less than it's worth. However, if you boost your home's appeal, understand its market value, and know your options when it comes to marketing strategies, you give yourself the best chance of a smooth sale.
How Do I Prepare My Home For Sale?
Investing in the right home improvements can boost your property's value by more than they cost.
Simple, low-cost improvements, such as a fresh coat of paint or fixing minor defects, can have a significant impact on your property's appeal. Small changes add up to make a noticeable difference, both in person and in photos.
For major home improvements, such as extensions, you'll need to estimate the potential increase in value from upgrades and balance this against the cost and effort involved in completing the work.
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How Do I Calculate My Property's Market Value?
Knowing the current market value of your home is important. It allows you to make an informed decision when deciding on an asking price.
Instant online valuations
Online valuations are a good starting point and will give you an indication of your property's value, usually with upper and lower bounds.
We offer free-to-use and up-to-date property valuation estimates. They are based on Land Registry data, local statistical information and other survey data from reputable sources.
You can see how the value of the property has changed over time and the property's sale history.
Our online valuations are most accurate for properties that have sold recently and when there are lots of similar properties nearby. If there have been significant improvements to the property since it was last sold, or if your property is unique, then the valuation may not be accurate.
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Compare sold house prices
You should build a good understanding of what people are actually paying for properties, as opposed to what sellers are asking for.
By reviewing recent sold prices of nearby similar properties, you gain an understanding of what people would likely be willing to pay for your home. This gives you a good estimate of its market value.
Use our house price pages to visualise the trend in sold house prices for similar properties in your street or postcode. Apply filters to find properties comparable to your home.
View the trend graph to see a plot of sold prices, and the average value estimate for the selected properties, over time.
Estate agent valuation
Local estate agents should be able to offer a more accurate valuation than those you'll find online, as they have in-depth knowledge of the local property market, and can tailor their valuation by considering all of the property's details.
When selecting agents, consider factors such as personal recommendations, fees, track record, and local presence. You should ask the opinion of multiple agents (most people ask three). Each should be able to give you an indication of your home's value, and point to similar properties they have recently successfully sold, as evidence to support their valuation.
It's important to keep in mind that there is a subjective element to estate agent valuations, and some may be inclined to overvalue a property since homeowners often choose to list their property with the agent who provides the highest valuation.
How Much Should I Sell My House For?
When marketing your property, you don't have to use an estate agent's recommended asking price, you are free to set it to whatever you want.
Advertising at around 5% above the market value is a common starting point. This gives you some room for negotiation, without starting so high as to dissuade potential buyers from considering the property.
If you need to sell your property quickly due to factors such as a job relocation or financial constraints, you may opt for a more competitive asking price. This approach can attract greater interest from potential buyers and increase the likelihood of a quick sale.
On the other hand, if time is less of a concern and the primary goal is to maximise your returns, you may choose a higher asking price to test the market initially. This may result in your property remaining on the market for a longer period, and you may need to reduce the price later to generate interest.
Your estate agent can help you determine the most suitable asking price based on your circumstances and the current trends in the market.
What else goes into the marketing strategy?
Alongside the asking price you'll often see some wording, such as 'Guide Price' or 'OIEO' (offers in excess of). This language gives potential buyers additional information about what kinds of offers you are likely to entertain.
The language you choose will depend, as with the asking price, on your circumstances and the current market conditions. Your estate agent should be able to point to successful sales of similar properties, including the wording they used, to help you decide.
What Do You Get To Keep When You Sell a House?
Assuming the property has been your primary residence, you won't have to pay capital gains tax on the sale.
However, you will need to account for estate agent fees and any other costs associated with the sales process, such as legal fees. After settling these and any remaining mortgage balance the remaining sum is yours to keep.
How We Value Property Discover how our Automated Valuation Model estimates property values. Understand its strengths, limitations, and how it compares to traditional valuations
