MyHouseValue.com

For Serious Sellers only … The TOP DOLLAR, TIMELY SALE, NO HASSEL PLAN

If you want …

Top Dollar

A Timely Sale

And a No Hassles

THIS IS THE PLAN FOR YOU!!!  Follow these 5 Steps :

STEP # 1 - Price your house at the lower end of your property’s realistic price range

STEP # 2 - Market your house for two weeks before ANYONE is allowed in to view it.  OPEN HOUSE

STEP # 3 - Get your house “market ready” … Staged and 100% ready to show - Model Condition

STEP # 4 - Get your house “OPEN HOUSE READY” the day before - signs, staged, 100%

STEP # 5 - Get ready for offers the day of your open house and be ready to make a deal happen!

Sellers … Caution ALL sellers … My Top Ten List of people to Avoid Taking Advice From  :

1. Don’t know YOUR marketplace
2. Haven’t taken the time to thoroughly inspect your property
3. Don’t know your circumstances in DETAIL … goal, timetable, motivations and so forth
4. Like or Love you but don’t  approach your situation objectively or knowledgeable
5. Will tell you what you want to hear but don’t have the facts or data that would help you make a more realistic decision
6. Will always have a better DEAL you could have or should have gotten or made.
7. Talk too much … but never seem to listen.  If one does not really know your issues, how can then have the BEST solutions?
8. Always bad mouth others but bring nothing concrete to the table themselves
9. Can not show you a logical, detailed action plan that addresses your situation
10. Have no proven track record for results to those you want or need to accomplish.

You know advice and opinions … everyone has them BUT few actually have the knowledge or experience to back up what the have to say.   I have seen more people make really bad choices over what a well meaning parent has told their uninformed child to do.  The really sad part of it is that the parent is only trying to protect the child and they are basing their advice on faulty information; so, in the end … trust your decisions upon the knowledge of a trusted and proven professional.  It really is the only safe path to take.

Thanks - any questions or comments, please do not hesitate to ask and as always your input is greatly appreciated. 

Jim

Are you truly serious about selling???  Let’s really find out.  Take the following quiz to find out!

By answering the following three questions you will have a better idea if you are truely a serious seller or not!  In my more than 20 years of experience in selling real estate, i have found that “Serious Sellers” tend to net the most money at closing, have the least amount of hassels and headaches while getting their desired results in the shortest period of time.

QUESTION # 1 … Why are you moving?

The more compelling your reason(s), the more realistic you are apt to be about the realities of your market conditions.

QUESTION # 2 … What is your timetable for making the move?

Most sellers do not get realistic about the realities of the marketplace until time is of the essence.

QUESTION # 3 … Are you committed to moving?

If you are not committed to moving within your stated time frame, you are likely to neglect doing the “little things” that would create a sale at top dollar - no hassles - and a timely sale.

REMEMBER THIS - Buyers are objective about price and value.  They are shopping for the “Best Deal”.  Serious sellers know this and respond objectively by pricing and marketing their property in a way that compels the hgih quality motivated buyer to be interested and this creates a sale at top dollar, in a timely manor and will few or no hassels.  Now that is what selling is supposed to be all about!!!

There are basically 17 things that every Appraiser considers when comparing your property to other properties in the Marketplace and they are as follows:

1. The current market conditions on the specific date and time of sale.
2. Location, Location, Locations
3. The site/view both looking at the property (in) and looking from the property (out)
4. The design and appeal of the dwelling
5. The quality of construction
6. Age of the property
7. Condition of the property
8. Total number of rooms
9. Number and types of rooms (bedrooms, bathrooms, etc.)
10. Square footage (gross living area)
11. Is there a basement?
12. Is the basement finished?
13. How functional is the property?
14. What is the heating and cooling system
    1. Is there central air conditioning?
       1. Type of cooling system.
    2. Is there a heating system?
       1. Type of heating system.
15. What type of automobile storage is available? (garage, attached/detached, carport, etc)
16. Are there any special features that the property offers?  (porches, patios, pool, fireplace, skylites, etc)
17. Were there any special financing or sales considerations that might have impacted value for the comparable properties?

Again … Remember, an appraisal is just an oppinion of what the property is worth on that day with the inforation that he/she has at hand, in that person’s oppinion!!!!

There are 7 things that every consumer needs to understand about a real estate appraisal.

1. An appraisal is an objective opinion of value.  It is NOT an exact science.  If three appraisers appraised the same exact property, they would assign three different values.  And i personally have seen them vary as much as 10% between them!  So, when you have only one evaluation comleted, did you get the high one, the low one or the exact one? 
2. Most sellers, buyers and lenders want an appraisal that reflects the market value rather than the insured value, assessed value, sentimental value or any other type of value.  (types of value have been covered in earlier blogs)
3. An appraiser’s estimate of value typically reflects the current market conditions in the subject property’s marketplace.  This can change dramatically if market conditions shift.
4. The appraiser’s estimate of value reflects the most probable price the property will sell for without special considerations or circumstances … atleast in their oppinion at that moment in time!
5. The best indicator of market value for a residential property is found by applying the sales comparison approach.
6. Most lenders base a buyer’s loan amont on either the sales price or the appraised value of the property: which ever is less.
7. Many homebuyers today are writing offers to purchase subject to the property appraising at or above the sales contract price.

The thing to remember is that an appraisal is just an individual oppinion of the person conducting the assessment - nothing more, nothing less!!!  BUT if it comes in at less than you are trying to buy or sell for the bank will NOT lend the buyer the money and this can stop the sale dead in it tracts.   As a seller you always want to make sure that you have done your homework and have comparable ready for the appraiser so that you have done their work for them.   This one step will just about assure an appraisal that gives you the value you need.

That’s right … there are EIGHT different kids of value that will establish if and when your property will sell; So, in order to gain top dollar, take the following types of value in to consideration :

1. Assessed Value - what the government thinks your property is worth
2. Insurance Value - what you can protect it for (value wise)
3. Salvage Value - what can you get out of the parts
4. Use Value - what can you do with it?  What other things can you do with it?
5. Replacement Value - what will it cost to reproduce it?
6. Reproduction Value - what will it cost to reproduce it somewhere else - this can be much harder
7. Sentimental Value - this is what the home owner thinks it is worth and is normally high
8. Market Value - when it comes time to sell this is the only one that matters!!!

This can be challenging and once you understand the characteristics of how value is determined, it becomes a bit more clear.

1. Demand
   • Demand is completely in the eyes of the beholder.  It will vary dramatically from person to person.  The demand for a particular piece of real estate changes as the wants, needs and desires of the market as well as each individual adjust.   This is why you can have one buyer who would not even consider your dome home and another who will pay just about any price.
2. Utility
   • In order for real estate to have value it must have a usefulness or utility … in a different way … what can you use it for?  Usefulness creates a desire for possession and has the power to give the owner satisfaction.  Will the typical buyer in the current marketplace have their needs met by purchasing your home, land or investment property?  If yes, it may sell.  If no, it will not.
3. Scarcity
   • In order for real estate to be of value, it must be relatively scarce.  It to many properties like yours are for sale, it will negatively impact the value of your home.  Supply and Demand … if demand stays the same and the supply goes down then prices go UP … if supply goes up then prices go DOWN.
4. Purchase Power
   • Purchasing power is created by desire.  Can the buyer who wants, needs and desires to own the property … can the afford the property???  The more people that can afford a property, the better for the seller because if forces the value up … because this causes bidding wars and a higher sales price.  The less people that can afford a property, the better for the buyer … because this allows the buyer to set the price at what they feel is right by negotiating the value down.

Good Luck and I hope that this is helpful.  If you should have any questions about the characteristics of value or any other real estate topic do not hesitate to contact me.  And as always i welcome your comments.

Jim Bim

Pricing a property is the most critical issue that you will face.   This is not easy to do.  To be frank, most appraisers miss the mark on a regular basis simply because they price property based upon the past (up to 6 months prior); so, when pricing your home it is vital that you take advantage of an experienced, time tested profession who has a record of selling in any market!

The follow 5 tips will take you a long way :

1. Your Home is most likely to sell for top dollar when it is fresh to the market
2. Buyers buy after the shop around. Buyers are searching for the best buy.  If your home is priced to high, it will make the other homes look better … in other words, your over priced home will help your competition sell.
3. Your property will need to be appraised.  If it appraises below the contract price, the bank will not lend the buyer what they need to mortgage and buy your home … now you have a problem.   Fact, just because you can find a fool to overpay, does not mean that you will find a bank who will lend the fool the money!
4. Other than possibly location, price is the most critical issue that both buyers and Realtors both look to when selecting homes to view.  And as you know, price still rules once the location is selected. So, once again, pricing is critical even over location.
5. Negotiations
   • If priced to high, it is possible that no one will seriously consider or that the time to see the benefit of starting negotiations … they will not think thatyou are serious about selling.
   • The more accurate priced the property is, the less likely the buyer is to start the negotiations wih a low ball offer or even see the need to negotiate.

In the end, what you will find is this many times your first offer is your best offer and that when priced right, your best offer will come with in your first 10 buyers … so, if you miss the mark from day one, you will definately leave money on the settlement table as a closing gift to your buyer and no seller wants that.

Price it right - Jim Bim