What are the standard ways of finding out how much a home is
worth?
A comparative market analysis and an appraisal are the
standard
methods for determining a home's value. We will provide you with a
comparative market analysis, an informal estimate of value based on
comparable sales in the neighborhood. We will also discuss listing
prices of current
homes on the market as well as those that have sold. You also can
research this
yourself by checking on recent sales in public records. Be sure that you
are
researching properties that are similar in size, construction and
location. This
information is not only available at your local recorder's or assessor's
office
but also through private companies and on the Internet. An appraisal,
which
generally costs $200 to $300 to perform, is a certified appraiser's
opinion of
the value of a home at any given time. Appraisers review numerous
factors
including recent comparable sales, location, square footage and
construction
quality.
How do you prepare a house to sell?
Doing
whatever
you can to put your house's best face forward is very important if you
want to
get close to your asking price or sell as quickly as possible. You want
to minimize personal photos and displays so that potential buyers can
make an emotional connection with the house and easily picture
themselves in the home, an important step in a buyer making an offer.
Here are several ideas for making your home show better:
*
Sweep the sidewalk, mow the lawn, prune the bushes, weed the garden and clean
debris and pet waste from the yard.
* Clean the windows (both inside and out) and make sure
the paint is not chipped or flaking. If your home was
built before 1978, federal law gives a buyer the right to request a lead
inspection. If you think you might have some problems, do the inspection
yourself beforehand and make any fixes you can.
* Be sure that the doorbell
works.
* Clean and spruce up all rooms, furnishings, floors, walls and
ceilings. It's especially important that the bathroom and kitchen are spotless.
* Organize closets.
* Make sure the basic appliances and fixtures work.
Get rid of leaky faucets and frayed cords.
* Make sure the house smells good:
from an apple pie, cookies baking or spaghetti sauce simmering on the stove. Remember, if they can smell it, you won't sell it.
Hide the kitty litter.
* Put vases of fresh flowers throughout the
house.
* Having pleasant background music playing in the background also will
help set your stage.
What are the two most important factors
when selling a home?
Price and condition are the two most
important
factors in selling a home, even in a down market. The first step is to
price
your home correctly. Use comparative sales information from your agent,
or pay
for a professional appraiser (usually $200 to $300), to objectively
evaluate
your home's worth. Second, go through the house and repair any obvious
cosmetic
defects that could deter a buyer. In a down market, you may have to
consider
lowering your price and/or making a major repair, such as replacing the
roof, in
order to lure a buyer. We will make sure that your home is getting the
exposure it
deserves through advertising, good signage a listing on the local
multiple listing service and online listings providers, open houses, and
broker open houses.
What is the best time to buy?
Because many buyers prefer to move in
the spring or summer, the market starts to heat up as early as February.
Families with children are eager to buy so they can move during summer vacation,
before the new school year begins. The market slows down in late summer before
picking up again briefly in the fall. November and December have traditionally
been slow months, although some astute buyers look for bargains during this
period.
What is the difference between list price,
sales price and appraised value?
The list price is a seller's advertised
price, a figure that usually is only a rough estimate of what the seller wants
to get. Sellers can price high, low or close to what they hope to get. To judge
whether the list price is a fair one, be sure to consult comparable sales prices
in the area. The sales price is the amount of money you as a buyer would pay for
a property. The appraisal value is a certified appraiser's estimate of the worth
of a property, and is based on comparable sales, the condition of the property
and numerous other factors.
What is the difference between market value and appraised
value?
The appraised value of a house is a certified appraiser's opinion
of the worth of a home at a given point in time. Lenders require appraisals as
part of the loan application process; fees range from $200 to $300. Market value
is what price the house will bring at a given point in time. A comparative
market analysis is an informal estimate of market value, based on sales of
comparable properties, performed by a real estate agent or broker. Either an
appraisal or a comparative market analysis is the most accurate way to determine
what your home is worth.
How does someone sell a slow
mover?
Even in a down market, real estate experts say that price and
condition are the two most important factors in selling a home. If you are
selling in a slow market, your first step would be to lower your price. Also, go
through the house and see if there are cosmetic defects that you missed and can
be repaired. Secondly, discuss with your agent the
exposure your home is getting through open houses, broker open houses, advertising, good
signage, and listings on the local multiple listing service (MLS) and on the
Internet. Another option is to pull your house off the market and wait for the
market to improve. Finally, if you have no equity in the house, and are
forced to sell because of a divorce or financial considerations, you could
discuss a short sale or a deed-in-lieu-of- foreclosure with your lender. A short
sale is when the seller finds a buyer for a price that is below the mortgage
amount and negotiates the difference with the lender. In a
deed-in-lieu-of-foreclosure situation, the lender agrees to take the house back
without instituting foreclosure proceedings. The latter are radical options.
Your simplest, and in many cases most effective, option is to lower the
price.
