ESPC PODCAST: How do properties get valued? A guide to property pricing strategies in Edinburgh & surrounding area
How do solicitor estate agents value properties?
This week Megan & Paul are joined by Head of Estate Agency at McDougal McQueen, Lisa Connolly to discuss property pricing strategies and how ESPC solicitor estate agents arrive at a valuation.
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Key Insights
How do ESPC solicitor estate agents arrive at a valuation?
Solicitor estate agents determine property valuations through a comprehensive process blending scientific analysis with industry experience. They begin by conducting thorough research, examining comparable properties in the area, and assessing any alterations or changes to the property. Market conditions play a crucial role, with agents considering current listings, recent sales data, and competition in the neighborhood.
Statistical evidence and data analysis inform their decisions, including insights into what properties are being accepted in the market and buyer behaviors regarding offers. Collaboration with internal teams provides additional market intelligence, allowing agents to stay informed and make well-informed valuations.
Throughout the process, solicitor estate agents prioritize transparent communication with clients, offering evidence-based advice rather than relying solely on opinion. They emphasize the importance of understanding the rationale behind the valuation and how market dynamics may influence it.
In summary, solicitor estate agents rely on a blend of research, analysis, market insight, and collaboration to arrive at valuations that accurately reflect current market conditions and maximize outcomes for sellers. Their goal is to provide honest, transparent advice supported by evidence, ensuring clients have a clear understanding of the valuation process and factors influencing their property's worth.
How is the current market and how are properties being marketed?
The current market is steady, with a preference for stability over rapid growth among solicitor estate agents. The primary marketing strategy for properties is using the "offers over" approach, especially in areas like Edinburgh and the Lothians. This method involves setting an asking price slightly below the Home Report value to attract buyers, however, there's been a shift in market dynamics, with less aggressive bidding and narrower premiums over the Home Report value compared to previous years.
Overall, the focus remains on balancing flexibility and generating interest to maximise returns for sellers in the current market environment.
What to do if your property isn’t selling?
If your property isn't selling, there are several steps you can take before considering a price change. Firstly, it's crucial to review feedback from potential buyers to understand why the property isn't generating interest. Being open to honest feedback, even if it's about issues like clutter or presentation, is essential for making necessary improvements.
Other actions to consider include updating photos, rearranging virtual staging for vacant properties, and exploring additional marketing options such as boosting listings on ESPC. It's important to recognise that the time it takes to sell can vary greatly depending on market conditions and buyer activity.
Rather than rushing to adjust the price, it's often more effective to focus on addressing potential issues with the property and maximizing its appeal to buyers. While price adjustments may eventually be necessary, it's advisable to explore other avenues first, such as transitioning from "offers over" to a fixed price.
Ultimately, the goal is to strike a balance between presenting the property in its best light and setting a competitive price that attracts potential buyers without overpricing. By prioritizing cosmetic improvements and marketing efforts before considering a price change, sellers can increase their chances of a successful sale.