How to Determine the Value of a Home in Today’s Market

How Much Should I Offer?

Not too long ago, the real estate market favored seller’s. The inventory of homes for sale was low and prices were high. Buyers found themselves competing for the best homes. How much you offered depended on how badly you wanted the home. Today, the economy has changed. Homes are not selling as quickly as they once did. Over priced homes are not selling at all.

If you are in the market to purchase a home or other real estate, you have picked a good time to do it. You will find a large inventory of real estate for sale at prices much below the prices of a year or more ago. A buyer ready, willing, and able to make a purchase will find sellers willing to negotiate.

Sellers price their homes differently for 4 basic reasons:
 

1. Ridiculously Overpriced
 

Sellers who overprice their homes are living in a dream world. Although most of them are aware that the real estate market has cooled, they find it hard to believe that their home is not worth every penny that they are asking.

The longer an overpriced home is for sale, the more likely we can get the seller to face reality and sell at a fair price.
 

2. A Little Overpriced for Today’s Market
 

These sellers fall into 2 categories:
 

• Those that feel their home is worth every penny of their asking price. Good Luck.
 

• Those that want to leave a little "negotiating" room. They usually will negotiate a fair price.
 

3. Priced At Fair Market Value
 

These sellers have carefully and realistically studied other homes for sale. They have priced their homes very competitively.
 

4. Priced Below Fair Market Value
 

These homes are priced below value. Perhaps the seller wants a fast sale. Perhaps the real estate agent recommended too low of a price. These homes usually sell quickly

We Can Help You Determine a Fair Market Price on a Home You are Considering

Ask us to run a Market Analysis to get an up-to-date value of a home.

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Bank Protection
 

Even by carefully studying homes for sale, it's difficult to establish Fair Market Value. If you're obtaining a new home loan, you'll be protected by the Professional Bank Appraisal. Home lenders want to make sure that you don't over-pay for a home. If the home does not meet value in the eyes of the bank appraiser, you'll be informed. At that time, we can re-negotiate the sale price or void the agreement and refund your earnest money deposit.
 

Our job is to ensure that you have the tools and information you need to make an informed decision. We'll help you prepare the offer. Then we'll present it to the seller on your behalf and try our best to get it accepted at your price and terms! Call us anytime at PrimeTime Real Estate (530) 872-7100.

Copyright 2008 by Charles T Pettijohn, Real Websites.