When not knowing the facts can cost you money! A few years ago we were considering a move to another city to accept a job offer.
As part of our decision making process we asked a real estate agent we thought knew and trusted to give us a market analysis of the value of our home and what it might bring at resale.
The big market run up in real estate prices had skipped our small rural community and resale was slow.
We expected the real estate agent to show us something like a comparable appraisal or a list of recently sold homes in our large subdivision and their selling prices.
Instead she brought us a list of 4 homes that were currently listed for sale in our area that had not sold.
All were smaller, lacked garages, were dated in décor, in need of serious repair, and had smaller lots.
They were generally unlike our home and most others in the development.
She gave us a price that we thought was really low.
We thanked her and called an appraiser.
We asked the appraiser for a conservative estimate of the value of our home based on comparable sales of existing homes in the area.
His estimate of its value was $60,000 higher than what the real estate agent had told us.
Whether she was incompetent or desperate for a quick buck, she could have cost us a lot of money, money that we couldn't afford to lose.
If this was an isolated incident it might not be so important but it's not.
An older couple we know who owned some lake front property received an offer for one of their lots.
They thought it over for a while but did nothing to find out whether it was a fair offer.
They sold the property.
They later discovered that the buyer was a real estate agent who immediately resold the property for a lot more money than he paid for it.
He took advantage of their ignorance about the value of their property.
Don't believe everything you hear from real estate agents.
Get the facts and protect your investment.
Good Strategies for property owners.
1.
Get an appraisal from a qualified appraiser who is working for you.
2.
Monitor the selling prices of property in your area at the tax office.
Many municipalities have this data available on line.
Get the facts, not the gossip.
3.
Watch for development coming your way.
Many residential properties in the path of development may be worth far more as commercial properties than as residential properties.
4.
If you want to have real estate agents help you determine the value of your property get more than one opinion.
5.
Ask them what kind of criteria they used to arrive at their conclusions.
Some real estate agents will overvalue your property to get a listing and then not be able to get your price.
Overpricing is death to quick resale.
6.
Pay attention to signs of revitalization especially in urban neighborhoods.
When gas prices go up as they have lately, so do the prices of homes that are closer to town.
7.
Real estate agents sometimes get your name on a listing agreement and then sit and wait for a buyer to come take the house away from them.
Get them off their laurels.
Never list your property with a real estate agent for longer than 60 days.
By that time you should know whether you real estate agent communicates well and is bringing a viable pool of potential buyers.
Good staging can never overcome real estate agents who don't do their jobs.
Let them know they are expected to work for their $ just as you do.
Remember, if your real estate agent is not working out, there are viable alternatives for property owners.
Selling it yourself is possible and less complicated then real estate agents would have you think.
Leasing or renting your property, owner financing or rent to own deals are real possibilities.
See our web site for more information.
As part of our decision making process we asked a real estate agent we thought knew and trusted to give us a market analysis of the value of our home and what it might bring at resale.
The big market run up in real estate prices had skipped our small rural community and resale was slow.
We expected the real estate agent to show us something like a comparable appraisal or a list of recently sold homes in our large subdivision and their selling prices.
Instead she brought us a list of 4 homes that were currently listed for sale in our area that had not sold.
All were smaller, lacked garages, were dated in décor, in need of serious repair, and had smaller lots.
They were generally unlike our home and most others in the development.
She gave us a price that we thought was really low.
We thanked her and called an appraiser.
We asked the appraiser for a conservative estimate of the value of our home based on comparable sales of existing homes in the area.
His estimate of its value was $60,000 higher than what the real estate agent had told us.
Whether she was incompetent or desperate for a quick buck, she could have cost us a lot of money, money that we couldn't afford to lose.
If this was an isolated incident it might not be so important but it's not.
An older couple we know who owned some lake front property received an offer for one of their lots.
They thought it over for a while but did nothing to find out whether it was a fair offer.
They sold the property.
They later discovered that the buyer was a real estate agent who immediately resold the property for a lot more money than he paid for it.
He took advantage of their ignorance about the value of their property.
Don't believe everything you hear from real estate agents.
Get the facts and protect your investment.
Good Strategies for property owners.
1.
Get an appraisal from a qualified appraiser who is working for you.
2.
Monitor the selling prices of property in your area at the tax office.
Many municipalities have this data available on line.
Get the facts, not the gossip.
3.
Watch for development coming your way.
Many residential properties in the path of development may be worth far more as commercial properties than as residential properties.
4.
If you want to have real estate agents help you determine the value of your property get more than one opinion.
5.
Ask them what kind of criteria they used to arrive at their conclusions.
Some real estate agents will overvalue your property to get a listing and then not be able to get your price.
Overpricing is death to quick resale.
6.
Pay attention to signs of revitalization especially in urban neighborhoods.
When gas prices go up as they have lately, so do the prices of homes that are closer to town.
7.
Real estate agents sometimes get your name on a listing agreement and then sit and wait for a buyer to come take the house away from them.
Get them off their laurels.
Never list your property with a real estate agent for longer than 60 days.
By that time you should know whether you real estate agent communicates well and is bringing a viable pool of potential buyers.
Good staging can never overcome real estate agents who don't do their jobs.
Let them know they are expected to work for their $ just as you do.
Remember, if your real estate agent is not working out, there are viable alternatives for property owners.
Selling it yourself is possible and less complicated then real estate agents would have you think.
Leasing or renting your property, owner financing or rent to own deals are real possibilities.
See our web site for more information.