Price value misperception: Most people in every day’s conversation use price and value as synonyms but they are not. Price and value have two separate connotations in the business world “Price is what you pay. Value is what you get.”, hence price is negotiable and value is not; value is intrinsic to the property in a given market.
Determining value: The main task to sell your property fast and for a maximum value is to establish its market value and a pricing strategy. We often hear “ I need X$ in my pocket in order to buy another property I like”. Unfortunately, your needs might not reflect the market value. The value of your property is set by the price properties sold for in the same town and must be adjusted for size, condition and location/neighborhood.
Pricing is a marketing strategy: Pricing your property correctly is crucial. Current real estate market conditions determine the value. Pricing too high or too low can cost you time and money. Realistic pricing will achieve a maximum sale price in a reasonable amount of time. There are 3 different approaches to listing your property:
- True value pricing: Price and list at market value.
- Lower pricing: Price lower than market value to attract a higher number of buyers but negotiate less off the listing price
- Higher pricing: Price higher than market value to expect more negotiation and reduction off the listing price
Know that the usual negotiation range has been around 5% off the listing price (since 2015). We recommend listing at true value pricing and to take into consideration the 5% negotiation margin.
Comparables: As there’s no MLS in Costa Rica, you will have to rely on your REMAX agent for a seller’s report that includes recent sales activities of the last 2 years. We are the only agency in our area that has an internal Costa Rica MLS with a huge database of information, such as properties sold and for sale. Your Costa Rica REMAX agent will suggest a market value by comparing your property to ones sold recently.
Why choose REMAX to list your property?
- Because you will receive a seller’s report showing real comparables so it will be listed at the right price
- Because we have the power of the RE/MAX brand to market Internationally
- Because we perform a free due diligence prior to taking the listing
- Because of our excellent support and professionalism throughout the process and the sale
- Because of our expertise and very good market knowledge.
Call us for more information, we will be happy to meet you and give you some insights!
Isabelle Emond, Owner/Broker