What's the Value of Your Home? |
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I take establishing your home's value very seriously. It is a process of evaluating your home's features and comparing them to recent sales in the area and making adjustments for differences. You also want to factor in other market conditions and look at what didn't sell after being exposed to the market and why, as well as homes that have elicited offers and are currently under contract. It is important to also compare yourself to the competition before preparing the home for advertising. These three categories are referred to as 'closed' sales, 'pending', under contract or 'due diligence period (DDP) sales & 'active' listings.
I also look at market absorption trends, price per square foot and use other techniques to establish your property's market value. Pricing is key, and this is where most folks go wrong. If you over price your home, you end up worse off in the long run than if you had under priced it on many occasions - the reason being is that a properly advertised & exposed 'deal' will elicit interest and offers which may drive the price up while a stale home that's been on the market for 6 months or more will become stigmatized. Even if you reduce the price later, you have lost your most valuable marketing time (the first few weeks), and your home will be old news and have a high DOM (days on market) which most savvy buyers and agents will focus on - potentially assuming you are now desperate to sell. You must take all of this into consideration as well as the reality that your buyer will most likely need financing. If you do manage to get a contract on an over-priced home (and this is rare), the home probably won't appraise for the purchase price, & you're back to square one.
All this being said, the market is ever-changing, and it is important to consult with a Realtor that is full time and closing several transactions per month. This will ensure they are in tune with whether the market is trending towards a buyer's market or sellers market to help you get the most out of your property.
The information you provide below will be kept confidential and will not be used for any other purpose.
I also look at market absorption trends, price per square foot and use other techniques to establish your property's market value. Pricing is key, and this is where most folks go wrong. If you over price your home, you end up worse off in the long run than if you had under priced it on many occasions - the reason being is that a properly advertised & exposed 'deal' will elicit interest and offers which may drive the price up while a stale home that's been on the market for 6 months or more will become stigmatized. Even if you reduce the price later, you have lost your most valuable marketing time (the first few weeks), and your home will be old news and have a high DOM (days on market) which most savvy buyers and agents will focus on - potentially assuming you are now desperate to sell. You must take all of this into consideration as well as the reality that your buyer will most likely need financing. If you do manage to get a contract on an over-priced home (and this is rare), the home probably won't appraise for the purchase price, & you're back to square one.
All this being said, the market is ever-changing, and it is important to consult with a Realtor that is full time and closing several transactions per month. This will ensure they are in tune with whether the market is trending towards a buyer's market or sellers market to help you get the most out of your property.
The information you provide below will be kept confidential and will not be used for any other purpose.
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