What Seller's Need to Know about Buyers in Order to Market Their Home!

In a complex real estate buyer’s market, the more information we can share with our Sellers about the potential Buyer's needs and habits, the better the chances are of selling his home.  NAR does a Buyer's survey each year and profiles where buyers come  from and what the current buying habits are for each year.  One of our LRE trainers, Matt Ferrara, has prepared a video report entitled Facts about Buyers.  This video segment talks about how Buyer’s financed their real estate purchases in 2008 (most recent report).  You will enjoy the information.

In setting a list price or the value for a home, it becomes a critical component for us to explain to our Sellers that the Buyer will likely have to finance the purchase.  The greatest number of real estate transactions require lender financing… and therefore an “appraisal of value” before the lender will finance the purchase.  Even if the Seller finds a “ready, willing, and able” Buyer to pay the list price, but the appraisal fails to justify the agreed-to price, the transaction will eventually fail. 

It order to prevent a failed transaction, we explain to our Seller’s that a home has no “single price” but will sell in a “price range” based on current comparable sales, condition of the home, and the amenities and location of the home.  As much as our team of Realtors would like to set the price of a home, it is really the marketplace that will determine the price.  As a result, in helping our Seller’s to set their listing prices, we review the comparables within the most recent period of time, that are located near the Seller's home.  This comparative analysis includes the proximity of location, similar age and style, and similar size and condition.  We assist our Seller’s to 'see' what an appraiser would see as appropriate comparables with which he will evaluate their home.  Once that range is determined, we can then effectively market the home and end with a successful transaction in a reasonable period of time.

Setting the right price is one of the most critical services we can provide to our Seller’s and we take it very seriously.  If you would like to find out what your home's value would be during our current real estate market,  please contact our office.  There is no cost or obligation.

This blog posted by Steve Randall