LOCATION, EQUIPMENT AND AMENITIES (CURRENT AND PLANNED) OF AN AREA, ARE ONLY SOME OF THE KEYS TO DETERMINING THE VALUE OF A PROPERTY WHEN GETTING ON THE MARKET
The average price of thesquare meter of housing in Spainis about 1,640 Euros, according to the latest data provided by the Government. Knowing that we have to develop a series of strategies to get to the buyer and sell our property quickly.
A good ‘informal’ way to try out the market is, according to the founder of the real estate platform, take note of the contacts frequency. According to this professional, “the first two weeks after a property is put on the market, are where we will register a higher number of enquiries”. If during this period we just get a few calls, we should think, in his opinion as a large property-website manager, that the price is either too high for the market in our specific area, or on the opposite – to low below the average prices – and potential buyers get suspicious about the state of the property.
In fact, the first advice is to study the price levels in our area and simply adapt our price to them. We must not pull the prices below, or exceed them to an unrealistic level for our potential buyer. According to the ‘messages’ that launch us from the market, we will have to be sufficiently flexible to lower (and also upload) the price of our property. In this regard, as more people visit our property we will know that we are reaching the right price
Present and future analysis
A key element to price a property is the location. We cannot put the same selling price to a villa in the rural area of a city to a downtown flat. Communications and exits to the motorway, colleges, hospitals and health centres in the vicinity, parks and green areas,… all these factors contribute to increase the price.
However, not only the present influences the value, but act proactively and take into account the future of the area. Will a shopping centre be opened up in the district in the next 2-3 years? Is the area becoming more popular?… If you can tell the buyer what will happen positively in the area during the next years helps to get his interest, although if these are only projects at the present, it will add value to the property. In the same way, also you should inform the buyer what the property includes (furniture, energy efficiency, public areas,…) and what will be improved (a new swimming pool will be built? More parking spaces released?…).
To conclude, we need to have in mind that the price needs to be flexible and the best person to advise you about the right pricing will always be your Real Estate Agent. Please keep in mind, that buyers in Spain usually expect to negotiate the sales price down, and expect you to start with an asking price at 20% above the real price.