With everyone looking for the next great deal during these tough economic times, it’s important to realize what you have, what it’s really worth and how much you can get for it. These days everyone in the real estate industry is working in overdrive to get the same results as in years past. Keeping in mind the state of the economy, homes that at one time were worth a certain price may now be worth something else. If sellers are serious, they must be realistic.
Despite the ups and downs of real estate, the longtime mantra of “Location, Location, Location” still holds true. If a home is in a desirable area, it’s likely to sell faster than a similar home in a less desirable area – that is not rocket science. Being close to transportation, schools, shopping, beaches and more is definitely a plus!
But, while the placement of a property seems to be key to determining its value, location can only be a piece of the pie.
A home that is well maintained is worth more than a similar home that its owners let deteriorate season after season. When it comes time to sell, the condition will be reflected in the list price – something to make clients aware of when consulting about listing a home for sale. While every homeowner may think their property is worth a certain price, a Realtor must do his or her due diligence to get it right. Look at the comparables!
The layout of a home – does it have good flow? – as well as the size of the home are also factors to keep in mind when figuring out what the value range is.
Environmental forces are also important in the determination of a home’s value. If a home is in a flood zone, for example, that may deter some potential buyers. If a property is full of wetlands, the potential to improve the land is limited and therefore the value not as great as a property that is free and clear to be built on. Realtors must be aware of upcoming municipal projects – the installation of a cell tower near a property, for example, or future work on a nearby railroad could affect the value of a home for sale now.
The bottom line – when it comes to determining the value of a home, personal sentiments must be set aside. Business is business and what works for one might not work for the other. Line your ducks in a row and sell, sell, sell!
August 3rd, 2012 at 6:03 pm
Thanks for sharing. I also like “What Really Determines the Value of a Home?” for the title. I appreciate you sharing this with the rest of us Sara.