Thursday, August 21, 2008

Price Is King When Selling Your Home

Wow! This is a powerful post and I thought it was worth sharing.

Original Post
Via Danilo Bogdanovic-Real Estate Consultant -Loudoun and Fairfax County:

Not all sellers understand that their asking price is the ultimate determination of whether they will sell their property or not. Not only does the asking price affect if you'll sell, but when and for how much. The longer it takes you to get to the correct fair market value asking price, the greater your Days On Market are and the more of a negative stigma buyers will have of your property. This can translate into lower offers and ultimately, a lower selling price.

Sure, how well your agent markets the property matters. But even the best agent in the world can't fool today's buyer and a good buyer's agent. Today's buyer has access to way too much information and data to overpay for a property. And a good buyer's agent will provide comps and their personal expertise to even the most uniformed buyer so that they don't make a bad decision and overpay for a property.

If you're wondering how much of an effect getting the asking price right has on if and when your property sells, consider this...

I took a look at the last 30 properties (not including foreclosure/REO or short-sale properties) that have sold (gone under contract) in Loudoun County. Here's what I found:

These properties went under contract in an average of 25.4 days of their last price change/adjustment
Some of these properties had been on the market for months, but once they adjusted their price to or below the correct current market value, they sold in less than a month
Some of these properties went under contract in as little as 4 days and had multiple offers
Some of the properties that sold were at the $700K mark and a few were over $800K so even the properties in the upper price brackets are selling quickly when priced correctly
No matter how well known your agent is, how good your marketing plan is or how many open houses you hold, it comes down to price.

It takes a good and gutsy agent to be honest and share with you your property's real and accurate market value - no matter how much lower it is than you thought. It's then up to you to listen to them, review the comps and data (aka CMA) and be objective with yourself and the situation. Once you do that and then list your property at a price that reflects today's fair market value and market conditions, you will actually sell it.

This post has really hit the nail on the head. If you're thinking of selling your home, please take Via's advice.

Jacksonville Beach and Tropical Storm Fay

The Beaches area continues to feel the wrath of Tropical Storm Fay. It's not like she's in a big hurry to get out of here or anything. Quite the contrary! Like a guest that's over stayed their welcome, it's past time for Fay to go. She has been lurking off of the coast of Northeast Florida for two days. When she finally headed West today, she brought buckets of rain with her. Along with the buckets of rain, she brought 40 mph winds with gusts up to 55 mph. It's been a rough afternoon here at the Beach. The damage so far is minimal. There have been numerous reports of flooded streets and a few trees down, but all in all, we've been lucky. We've been spared any real serious damage. Property damage is very low considering how bad it could have been... I wish the story ended here.

Jacksonville Beach rarely has to worry about tropical systems. When we do, we take it pretty serious. Unfortunately, one person lost their life in Neptune Beach today. Three swimmers from Indiana decided to go swimming in the ocean when the waves were at their worst. One died and one is in critical condition after being rescued by Fire and Rescue. It's so sad. Anyone that took one look at the 13+ foot waves and felt the power of the wind would know not to venture in. I feel so bad for the families of the person that died and for the others involved. It's a sad side bar to what should have been a story about the fury of Mother Nature and how well prepared we were.

We live in Paradise for the most part; friendly people, great restaurants, fun festivals, great shopping and of course, beautiful beaches. Every once in a while we're reminded of the power of these tropical systems.

Please don't take any chances when one of these systems comes through our area.