Welcome to Help For Home Buyers and our FREE home evaluation page. It is very crucial to get the correct information when selling a house. Understanding the process and what is evaluated in a home appraisal is very important to pricing accordingly and understanding how appraisers, lenders, and banks evaluate and reach a home’s value. Getting the correct average price per square foot and the average sales in your subdivision or in your neighborhood specifically is very important. It is not only important both lender appraisal and valuation but also price competition for other homes that are for sale in your neighborhood. In other words, setting the correct expectations will make the process smoother and easier to plan for. Most people selling a house are either buying another home, or making some large transition in their life.
So pricing is very crucial for what you expect financially both positively and negatively. Unfortunately, for many people selling a home may not necessarily have a profit or positive financial impact for them. Many people have not seen sufficient appreciation in their home to cover the expenses of selling the home. In other instances it may be that they have borrowed too much on their mortgage or against their mortgage, to cover or break even after expenses. In these cases, a family may be negative at the time of their home sale. That means that they will have to pay out of pocket to cover expenses or any negative equity they may have on the home. This is why it is important to receive an accurate home valuation or market analysis on your home.
In order to properly plan for the next home and/or mortgage, you need to make sure you have some realistic expectations for the sale price and expenses involved with your current home.
And,that means knowing if you’re going to walk away with money or have to show up with money at your closing. This could determine if you are able to sell your home at all, but more than anything it again sets the proper expectations for both time to sell and a positive or negative financial impact. And, that is the most important thing for proper planning of the next step.
Every homeowner out there wants to get the most amount of money they can for their home, but over-pricing could lead to both an extended time to sell, but also an overall lower sales price. The problem with over-pricing is the perception to the public or the buyers in the market.
For whatever reason, most sellers use five thousand to ten thousand dollars as their increments of adjustment. So, increasing a sales price by five or ten thousand dollars may isolate your home versus other competing listings in your area. In other words, when a buyer is looking for a certain price range in your area any search engine or Realtor MLS search will show them all the listings. So, it’s like being on a showroom floor of a car dealership with a line-up of comparable vehicles. You would need to see a very noticeable difference in a vehicle in order to justify the higher price and then consider the higher price. If you don’t see a difference, then you are typically going to pass on that particular vehicle or model. Well, the same thing happens with real estate or houses.
With these sophisticated online search engines, a buyer can take a look at multiple properties at once and even a line up of properties and pick out differences in price, features, inclusions, and just about everything else.
This is where a detailed home evaluation becomes very important. Knowing how other homes are being listed and their final sales prices, will determine the buyer activity for your particular subdivision or neighborhood. As the old saying goes, location, location, location. And, location is considered your “Market”. So, location is very crucial on the pricing of your home. And, that means if you saw a home sell a few blocks down the street, does not mean that you can expect the same thing. Most appraisers will not go into other subdivisions for comparable sales if there are enough sales in your subdivision. Being of the same size may become insignificant, since it makes more sense for the appraiser to make up and down adjustments for size, than to go into another neighborhood or subdivision to get sales activity.
assistance programs and instead have elected to save up for their own down payment or get the down payment gifted from a relative or family member.