Thursday, December 12, 2019 / by Heather Schelling
Ever wonder how much your home is worth?
You’re likely to hear Realtors say the phrase “I’ll work up a CMA on your property” but what does that mean? A CMA is a Comparative Market Analysis. We look at recently sold, pending, and active properties that are most similar to your property in terms of location, style, number of bedrooms/bathrooms, garage spaces, overall condition, and specific nuances that make your home unique. Realtors use at least five of each status in order to confidentially recommend a price range of which to list your home for sale.
Motivation is often the driving force behind deciding how much to list for sale. If you have been relocated due to your job or have a family member that you’d like to be closer to, you’re likely more motivated to sell and might list near the lower range. If you are patient and don’t need to sell right away, you’re likely to list on the higher side. No matter the reason, your motivation will drive the list price.
Reality – sellers often have an unrealistic value of their home.
This is the hard truth. Most people have personal pride in their home and don’t want to accept that the improvements they made might not appeal to some buyers. Lack of quality upgrades, projects left undone, and outdated colors can be a turn off to buyers. Do your best to look through the buyer’s eyes while preparing your home for sale.
In the end, it’s really all relative. Any property is only worth what someone is willing to pay for it. It’s the law of supply and demand. Knowing your specific market is integral in pricing, knowing your motivation is the key factor in how much your house is worth.Until next time!
Heather Schelling, Realtor®