New Milford, CT Real Estate Talk. Pricing a home for sale.
It isn’t always easy. Sometimes it is a walk in the park, I admit it. There are recent sales to support a particular price, there are homes on the market that support a certain price to set the home apart from the others.
What I cannot use to support a price is what is owed on a property. It matters as to how the sale will be handled, but as far as pricing, this is the last thing that matters. What does matter?
- Recent sales of similar properties
- Current competition
- Market conditions
What you paid, how much you owe, these things are totally irrelevant when pricing a home to sell. I heard something recently from an agent. “My client said they need to get $ XXX,XXX from the sale of their home in order to purchase a home elsewhere”. This is also totally irrelevant. I will ask this question in order to determine if indeed selling is even an option these days. If you need to get $XXX,XXX, and all market indications tell me that your home is only worth $XYY,XYY, you will have to think long and hard about selling.
And if you think I am tough on pricing, or if I am not sympathetic about what you need to get out of the sale of your house, remember you have a few hurdles to get through to sell your home.
In order to sell your home, you need a buyer. Buyers are not overpaying for homes anymore.If we manage to successfully negotiate an offer, we still have one more HUGE hurdle….
THE DREADED APPRAISER
The appraiser does not work for you, the appraiser is there to tell the bank what your house is worth. They won’t know why you are selling, they don’t care what you need to get out of the sale, they don’t know you, they don’t even know the buyer. They have one job and one job only, give the lender a fair and honest price on your home. No emotions, no stories, no nothing. Based on their price the lender will decide if the sale can happen, if your house is worth it to loan money on.
Although I care deeply about what you owe, and I understand that you need to get a certain price point, if the value isn’t there, perhaps you need to adjust your plans.
If you owe more than your house is worth and have suffered a hardship, please give me a call to discuss your options for a “short sale” of your home.
New Milford, CT Real Estate, setting the right price for your home.