Oh I get it you don't believe me so get it appraised!
It should not be a big surprise that there are still home sellers who have not caught up with the market.
If you are a listing agent you might be asked why is my property not getting shown, or how come the price reduction didn't work?
The truth is, the market has shifted and is nothing like we were accustomed to just a few years ago. I really feel for home owners who need to sell, especially those who bought at the height of the market and now find themselves carrying a mortgage that is larger than what the home is worth.
With that being said, both sellers and agents have to pay attention to the trends in the existing market. So, here are a few situations to ponder.
- What if as a seller you just agreed to a price change but you still don't have any showings?
The market is liquid and it is not uncommon for your competitors to make even bigger cuts which would immediately put you at a disadvantage. This could mean you might have to cut even further.
- But my house is assessed at $380,000 why am I getting offers only in the $200,000's?
Just a few years ago it was not uncommon to see a house assessed at $200,000 selling for $400,000 and this made home sellers happy. That was a market called a Seller's Market, in other words more buyers and fewer properties. The well known rule of supply and demand dictates that a higher demand with a limited supply will result in higher prices. Today the scenario is so different. Very high inventory and few buyers makes this a Buyer's Market. In this case buyers want to spend less and get much more for their money.
- How come my neighbor's house sold for so much more than I am being offered although my home is larger?
Mr. Seller take a close look at the neighbor's property. Did you notice the nicely landscaped yard? And do you remember the large renovation project they did a year ago? Well, curb appeal and the condition of the home does matter. Do you remember the checklist of the things you were told you would need to do if you wanted to get more for your home? How much of that list has been completed?
- Please don't tell me what potential buyers have to say about my home. Despite what they have to say, I know my home is lovely and worth every dollar I am asking.
If potential buyers are saying similar things and making similar offers this is an indication that this is what the market will bear. Sorry, you really don't get to make this decision, buyers do.
So, you have the feedback, the offers, the comparative market analysis and you still disagree. Yes I get it you don't believe me. May I make one final suggestion? Get it appraised.
The appraisal will show you what your home is truly worth in this market, and what a bank will finance. The question is: Do you really want to sell your home or are you waiting for the market to come back? Keep in mind that it may be a long wait.
Jennifer Fivelsdal - JFIVE HOMES REALTY LLC - 845-758-6842- firstname.lastname@example.org
Copyright © by Jennifer Fivelsdal, all rights reserved-Oh I get it you don't believe me so get it appraised!
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