How is the price
set?
It's very
important to price your home according to current market conditions. Because
the real estate market is continually changing, and market fluctuations have an
effect on property values, it's imperative to select your list price based on
the most recent comparable sales in your neighborhood.
A so-called
comparative market analysis provides the background data upon which to base
your list-price decision. When you prepare to sell and are interviewing agents,
study each agent's comparable sales report (the data should be no more than
three months old).
If all agents
agree on a price range for your home, go with the consensus. Watch out for an
agent whose opinion of value is considerably higher than the others.
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.
Your real estate
agent will be happy to provide a comparative market analysis, an informal
estimate of value based on comparable sales in the neighborhood. Be sure you
get 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.
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. Also, make sure
that your home is getting the exposure it deserves through open houses, broker
open houses, advertising, good signage and a listing on the local multiple
listing service or online listings provider.
If this isn't
happening, take it up with your agent or agent's broker. If you are still not
satisfied you are getting the service you need, you may have to switch agents.
Where do I get
information on housing market stats?
A real estate
agent is a good source for finding out the status of the local housing market.
So is your statewide association of Realtors, most of which are continuously
compiling such statistics from local real estate boards.
For overall
housing statistics, U.S. Housing Markets regularly publishes quarterly reports
on home building and home buying. Your local builders association probably gets
this report. If not, the housing research firm is located in Canton, Mich.;
call (800) 755-6269 for information; the firm also maintains an Internet site.
Finally, check with the U.S. Bureau of the Census in Washington, D.C.; (301)
763-2422. The census bureau also maintains a site on the Internet. The Chicago
Title company also has published a pamphlet, "Who's Buying Homes in
America." Write Chicago Title and Trust Family of Title Insurers, 171
North Clark St., Chicago, IL 60601-3294.
More San Diego
Real Estate Selling Tips:
Search for San
Diego Real Estate:
RSS feed