The first question we ask ourselves when considering selling our home is, How much is my homeworth ?
When considering the market value of Real Estate, the most common mistake a home owner makes is using the values calculated by Lending Institutions, Insurance Companies and other resources who's estimates do not reflect the actual Sales Market Value of their home.
The greatest misconception of these is loan value. Lenders will loan you up to 125% of your homes actual value, and even more in some cases such as Home Equity Loans and or Lines of Credit.
As a Real Estate Professional I have all too often encountered home owners planning to sell their homes, only to find out that after considering their homes actual market value ( what their home is most likely to sell for ), real estate fees and closing cost, they have maxed out or even over drawn on the equity of their home.
Insurance Companies also use higher calculations such as the replacement cost of your home ( the cost of rebuilding your home ) and possible demolition cost in order to fully cover your home. Again this is not the market value of your home.
What Should I Ask ?
The actual market value of your home is based on, location, condition and size. You can get a bulk idea of how much your homes worth from many resources but, those numbers can be very broad and......
often do not consider all the improvements, up-dates, features and the availability of homes in your market. A qualified Real Estate Agent can provide a current market analysis. The more the agent knows about your home the more accurate the outcome of your analysis will be
.
If the asking price is too high, it will end in very little ( if any ) activity on the sales market with longer periods on the real estate market which will cause concern for any potential buyers. You will have the most activity and recieve the most interest in your home with in the first few weeks on the market, if you price it even a little to high you may lose your potential buyer.
If the asking price is too low, if you ask too little or too low of an asking price, you will be doing yourself a real injustice and coming out on the short end of the stick when its all said and done. Of course you will more than likely receive tons of interest. A great deal is usually only good for the BUYER, not the seller ( WHICH IS YOU).
What you want is the RIGHT asking price.A price that Satisfies you ( The Seller ) while still attracting Buyers.
A price that you both feel was right and leaves you both feeling that you as the seller got a fair market price and the buyer also feels he also got a fair deal.
C M A
( Current Market Analysis )
When a Real Estate Sales Agent gathers information for your CMA ,it is important to understand that the ASKING PRICE for homes in your area is very seldom the SELLING PRICE.
The Selling Price of comparable's (Homes that match your home) in your area are what really sets the market selling price for your home. but there is much more to it than finding out what house like yours actually sold for. That is why by all means, you should be represented by a licensed Real Estate Agent.
Only a Licensed Real Estate Agent has the resources and the required know how to do all the appropriate investigating to calculate the BEST and most reliable asking PRICE for your home.
You can ask any price you would like to ask, but if the appropriate Market Research has not been done, then the likelihood of selling your home diminishes tremendously, and there isn't anything worse than a DEAD ON THE MARKET PROPERTY in the real estate world.
Serving the Ohio Areas of Cuyahoga , Medina , Lake , Lorain . Cities of Cleveland , Parma , Parma Heights , Strongsville , North Royalton , Berea , Middleburg Heights , Brooklyn , Brunswick , City of Medina , Hinkley , Valley City , Valley View , Independance , Wellington , Spencer and all surrounding East and West , North And South.
