Here's a Bad Way to Start a Northern Virginia Short Sale
I was out for a listing appointment this afternoon with Sellers who happen to be in a positive equity position in their home. Their home is in a neighborhood where I already have a Northern Virginia Short Sale listed and under contract. When I ran the comps for the listing appointment, I knew I'd be dealing with a home in much better condition than the Short Sale I had listed. Imagine my surprise when seeing the active listings I found a home listed for about 115% of market value for a home in average condition and read the following remarks:
House needs a little touch up paint and carpet is worn and stained in some areas. The property is As-Is. The dishwasher and washing machine aren't working.
Northern Virginia Short Sales are typically sold in As-Is condition. However, as a Northern Virginia Short Sale Agent, I don't think I'd list a Short Sale in poor condition 115% above market value of what a home in average condition goes for. That is definitely a bad way to start a Northern Virginia Short Sale.
Part of getting a Northern Virginia Short Sale sold is figuring out a list price that is not too high, or too low. If it's too high, the Buyer's appraisal won't come in at value and the sale could fall out. If it's too low, the bank will want more money and counter offer when their appraisal comes in, and that can chase off a Buyer who thought they were getting a great deal.
Pricing a Northern Virginia Short Sale properly is critical to the success of your Short Sale. If you overprice for what you have, you may end up in Foreclosure before you ever see an offer...definitely not the objective of a Short Sale.