How To Determine the Correct Selling Price for your Summerland or Penticton BC Home
Regional & Neighborhood Statistical Data
A summary of trends in the local real estate markets provides important background for understanding many of the influences affecting the marketability and value of your property. Included are charts and tables which
reflect current and historical economic conditions and real estate sales activity.
Description of the Property
A brief description of the subject property is provided to detail and quantify the physical characteristics and
attributes of the property.
Market Comparison Analysis
This is the central component of the Current Market Analysis. This detailed analysis compares your home with the sales, pending sales, and current listings of competing properties. These competing properties are known as "comparable sales."
Adjustments are assigned to each comparable sale for the superior or inferior appeal characteristics of each comparable sale relative to the subject property. The adjustments are based on analysis and observations of recent and historical sales activity. An indication of value is provided by each comparable sale when the sum of the adjustments is added to the sales or asking price.
Unusual Appeal Characteristics of the Subject Property
Properties typically sell within a reasonably close range of values. But, markets are rarely perfect. Sometimes aberrations occur which result in a sales price which is above or below the predominant market activity. This is often due to greater than typical motivations of a buyer or seller, but is also influenced by unusually superior or inferior appeal characteristics of the property. I will consider and report any unique appeal characteristics of the subject property in the Current Market Analysis.
Current Market Conditions
Current market conditions are evaluated to determine their influence on the selection of an asking price. The value of everything, including real estate, is determined by supply and demand. If there are a lot of sellers and only a few buyers, prices tend to go down and houses take longer to sell. This is referred to as a "Buyers
market". Alternatively, if there are many eager buyers, but few homes for sale, prices rise and properties sell quickly. This is a "Seller's market". Your area may be at one extreme or the other, but most likely it is
somewhere in between.
Three market characteristics are considered:
· Marketing times of recent sales
· Current inventories of competing properties relative to recent demand
· Price discounts, which is the percentage difference between the seller's initial asking price and the actual purchase price of the same home.
The Current Market Analysis will provide you with data and analysis of current market conditions to enable you to price your property right the first time. As a result, you will enjoy greater confidence and fewer worries, while enhancing your capability to sell at the highest possible price.
Reconciliation and Final Value Conclusions
The final step in assigning values requires reconciliation and consideration of the strength and weaknesses of each comparable sale, along with consideration of current market conditions. After a thorough analysis, a range of anticipated selling price and suggested list prices are provided for three different client motivations:
1. The most likely selling price.
2. A motivated seller who needs to sell within a short time frame.
3. A seller who's goal is to maximize value and is willing to take on the risk of a lengthy marketing time to achieve this goal.
Before you list your home for sale, you need the information to Price It To Sell
How To Determine the Correct Selling Price for your Summerland or Penticton BC Home
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