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3 Key Items that Can Help you Price a Luxury Property

Luxury Home in WoodlandsLuxury real estate is marked by more than just a large space and high price. Many different factors go into determining how a luxury property sells, including things like historical value, neighborhood, and age. Whether you are deciding how much you want to sell your luxury home for or you are trying to figure out how to make a fair offer on a piece of real estate you have an interest in, the tips below will help you get a better price estimate.

1: Location and Surroundings

You’ve probably heard the phrase, “It’s all about location” before, but that can’t really be reiterated enough. The location of your home, in many ways, means just as much as the house itself. What sort of view do you see when you look out the window? Are you located in an area that experiences harsh weather on a regular basis? There’s another important item to consider as well: does the house fit the surroundings? Homes that are built to visually mesh with their environments tend to sell at a higher value. The true character of a home is determined by looking at the big picture. If the luxury home fits the surroundings well, the value and eventual resale value both go up dramatically.

2: Comparable Properties

While luxury homes tend to have unique and special features of their own, there is still enough in common with the individual properties on the market that buyers and sellers can start with some basis for comparison. When determining whether a price on a luxury home seems fair, it’s worth examining what other properties are selling for. Check for homes that are in similar locations, roughly equal sizes, and in similar neighborhoods. If there is a major price discrepancy between the homes, then it means one of two possibilities: either one house has some unique piece of character that sets it apart or the price is not where it should be.

3: Unique Aspects and Character

When it all comes down to it, the majority of people who plan to purchase luxury homes are looking for something unique about their homes that other properties, no matter how expensive, will never possess. Does the home have an unusual number of fireplaces? Are there strange patterns carved into the door moldings? Was it built during a key period of the Civil War? The hard part about character is the fact that different people value different things. However, if you are looking at a property that has something unique that you love, it might be worth higher than market value to you. Similarly, you can sell such a property for a good profit if you find the right buyer who happens to be interested.

The pricing on luxury homes is a very difficult thing to nail down because there are so many factors involved. When pricing your own home or determining whether somebody else’s price is fair, try to consider all the angles, including the items mentioned above.

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