When Should You Raise the Asking Price of Your Home?

Setting the right asking price is one of the biggest challenges you’ll face when listing your Chicago condominium or single-family home. That’s why it’s so important to work with a REALTOR® who knows your market. This professional will help you find the perfect listing price for your home.

There are several strategies homeowners can follow when setting their initial asking price. But there are times when it actually makes sense to list your home for a higher price than most of your competitors. A recent story in REALTOR® Magazine looks at this strategy.

According to the story, you should feel comfortable listing your home for a higher asking price when your residence offers more than other similar homes selling in your area. Maybe your Chicago home boasts a kitchen that was gut-renovated last year. Maybe it has extra outdoor space or a larger-than-normal garage. Features such as these, which set it apart from the competition, can certainly justify an asking price that’s a bit higher.

You might also change your listing price, increasing it, if market conditions have changed since you first put your home on the market. As the REALTOR® Magazine story says, if you notice that more buyers are entering the market, and homes are receiving multiple offers, raising your own asking price might be a good move.

My advice, though, is to work closely with your REALTOR® whenever you are planning a price change. You do want to get as much profit from your home as possible when you sell. But you should only consider a price increase when market conditions warrant it. Increasing your price at the wrong time could chase potential buyers away, and leave you with a home that sits on the market for weeks or even months without any serious offers.