Property Value in Today’s Market
In my line of work as a mortgage note buyer at American Equity Funding (AEF), I understand the ever-changing property values in today’s real estate market. I have the privilege of knowing many real estate agents and have a network of realtors across the country.
As an example of varying property values, I recently listed and sold a home in the northeast and the property was sent to two top-notch agents named Mario and Cory. Geographically, the property was very close to Mario while Cory was farther away.
Mario found comparable sales supporting a $25,000.00 value and Cory found comparable sales supporting a $10,000.00 value. We listed this property with Mario and within a few days, there were multiple offers. Surprisingly, the highest offer was $35,000.00 and naturally, we accepted.
The point of the story is that today’s real estate market is unique and interesting!
If you are considering listing a property, here are three elements I have learned from my experience in selling several hundred homes per year across the United States:
Property Values
Property values in most areas are rising quickly and many factors can affect the sale of a home that are not tangible such as:
- Shortage of homes for sale
- Possibility of future development or re-zoning
- Sentimental reasons (grandma’s childhood home, etc.)
Realtors
Make sure you are comfortable with your realtor and know that he/she has your best interests at heart. Inform your agent that you would like feedback and are willing to reduce the price to spark interest. This advice applies to your mortgage note buyer as well.
Side note: When a property listing is reduced, a hot sheet is usually generated by the MLS system which is available to all realtors in the geographical area.
Testing the Market
Don’t be afraid to test the current market by listing your property a little high. By the same token, be prepared to reduce the price if the home does not get any action in the first two weeks.
Considering the present aspects of property values, realtors, and testing the market will help you stay informed of today’s ongoing real estate market when listing your property.
Please contact American Equity Funding at 1-800-874-2389 if I may assist you in any way!
Mortgage Note Buyer
Steve Whitlock
President, American Equity Funding
A special thank you goes to Mario J. Tascon, Real Estate Broker, Tascon & Co. Real Estate Brokerage in Springfield, MA. (413) 657-6459