Determining Market Value
The market value of your home is determined in several ways:
The market value of your home is NOT:
- What you have in the home
- What you need out of it
- What you want
- What it appraised for
- What you heard your neighbor’s sold for
- What the tax office says its worth
- What it would cost to replace it
- Based on prices of homes where you are moving
The true market value of your home is….what a buyer is willing to pay for the property:
- Based on today’s market
- Based on today’s competition
- Based on today’s financing
- Based on today’s economic conditions
- Based on the buyer’s perception of the condition of the property
- Based on the location
- Based on normal marketing time
Property’s that sell in today’s market:
On a scale of 1-10 (“10” are the ones that are selling). How can your property be a “10”?
- By improving the condition dramatically
- By offering good terms
- By improving the way the home shows
- By adjusting the price
As you advance through your market period, you may observe some warnings:
Realtor elimination – if the realtors are not previewing it and do not show it, they are eliminating it.
Buyers elimination – if it is being shown with no results, the buyers are finding better properties to buy and they are eliminating the property.
