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Yes, Your Home is (Fill-in-the-Blank) But It Won't Sell For More Than What A Buyer Will Pay

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Industry Observer CalDRE #01165532

Yes, Your Home is (Fill-in-The-Blank) But It Won’t Sell For More Than What A Buyer Will Pay

  • So beautiful
  • Darling
  • Incredible
  • Drop dead gorgeous

Pasadena/San Gabriel Valley Realtor Michael Jacobs 818.516.4393 cell



Are you describing your neighbor’s new bundle of joy or that property that you’ve just listed.   To paraphrase W C Fields --- this is a no kids zone today but if the topic is homes, you’ve come to the right place.  


Many think of their home as a castle -- and in some cases, they are right(including the obligatory moat and drawbridge) but please understand buyers will be making their decision to buy on a number of factors.

Some of these factors may be emotional(afterall, it’s Mom, apple pie and all that touchy feely good stuff) but the financial implications are very important.   How many times have we heard and maybe said -- “I’m in no hurry to sell, I’ll wait for the buyer who will pay my price”.    Of course, if the buyer is obtaining a mortgage there will be an appraiser(and as a group and a generalization -- appraisers are not big fans of apple pie relative to a home’s value) -- so your property will need to appraise for the agreed upon purchase price.

Even without a loan, an all-cash buyer will not pay more for your house than the market value.  Sure, there are exceptions -- and of course we know that market value is when a willing buyer and a willing seller come to an agreement -- but realistically, you know, your price needs to be based on some facts --- like comparable and recently sold properties -- not that house that sold five years ago.

For realistic and a fair valuation plus a marketing plan to maximize the sale proceeds of your Pasadena/San Gabriel Valley property contact Michael Jacobs at 818.516.4393 cell or michaeljacobs@coldwellbanker.com.

Posted by

Michael Jacobs

 

CalBRE # 01165532

P. O. Box 587

Pasadena, CA 91102

Call/Text:  818.516.4393

mtj916@gmail.com

 

 

Michael Jacobs
Pasadena, CA
Pasadena And Southern California 818.516.4393

Steven -- so sorry to have to tell you the truth -- but some of those expenses(yeah, I know those gold faucets in the bathrooms are really groovy but...) are not considered upgrades.   Consider them as part of your enjoyment of living in your home and if you are ready, let's price it to get an offer(s) you can accept.   Thanks for stopping by.

John -- some lofty goals, huh?   Sounds as if you are a homeowner and not a home seller and that's okay -- but many buyers might be afraid of 12000+ days on market -- just sayin'.     

May 26, 2012 11:16 AM
Joan Whitebook
BHG The Masiello Group - Nashua, NH
Consumer Focused Real Estate Services

The market rules.  It is tough for the seller to really get this point.. Often they blame the agent, rather than get realistic about the market.

May 26, 2012 01:09 PM
Tammie White, Broker
Franklin Homes Realty LLC - Franklin, TN
Franklin TN Homes for Sale

Price is such an important piece of the puzzle. When that piece is securely in place, everything else just fits together.

May 26, 2012 02:03 PM
Michael Jacobs
Pasadena, CA
Pasadena And Southern California 818.516.4393

Hello Joan -- yes, the market is the ultimate voice -- it can be a difficult pill to swallow.

Hi Tammie -- you are right -- your analogy of a puzzle is spot on.

May 26, 2012 03:51 PM
Endre Barath, Jr.
Berkshire Hathaway HomeServices California Properties - Beverly Hills, CA
Realtor - Los Angeles Home Sales 310.486.1002

Michael Congrats on Your Featured Post! To many more, have a wonderful long weekend, Endre BTW I agree with your post 100%!

May 26, 2012 04:21 PM
Michael Jacobs
Pasadena, CA
Pasadena And Southern California 818.516.4393

Hi Endre -- thank you very much and I hope your weekend is going well too!

May 26, 2012 05:06 PM
Amanda Christiansen
Christiansen Group Realty (260)704-0843 - Fort Wayne, IN
Christiansen Group Realty

Great post Michael.  No matter what we think of our home, the market and appraisal tells it all.  Congrats on the feature!                 

May 26, 2012 10:27 PM
Debbie Gartner
The Flooring Girl - White Plains, NY
The Flooring Girl & Blog Stylist -Dynamo Marketers

You are so right and I don't get why sellers don't get this.  Is it that they don't actually get it, or is it that they don't want to believe it.

May 26, 2012 10:37 PM
Michael Jacobs
Pasadena, CA
Pasadena And Southern California 818.516.4393

Jared and the Christiansen Team -- a buyer and seller will come to their agreed terms and the appraiser will substantiate the price for the lender -- it works out best most of the time but buyers/sellers need to know of the consequences should it not.  Thanks for stopping by and commenting.

Debbie -- you have a valid point -- they know it but may not want to believe it -- kind of like the Jack Nicholson famous line You Can't Handle The Truth.

May 26, 2012 11:56 PM
Kim Boekholder Utah Real Estate/ PECO
Results Real Estate 801.580.5624 - Draper, UT
Broker Results Real Estate/Leasing Specialist PECO

so very true, buyers will only pay what they feel the home is worth and if you get a buyer who wants to overpay (unless they pay cash) the agent will advise them against that based on comparables and if the buyer still insist on paying more the appraiser will surely stop the sanity.  Congratulations on the featured post 

May 27, 2012 12:34 AM
Richie Alan Naggar
people first...then business Ran Right Realty - Riverside, CA
agent & author

Its one of kind...don't you people understand? Reminds me of the Emperors new clothes...believe what you want, naked is as naked does whether you want to hear it or not is irrelevant...Reality sure does interfere with peoples plans

May 27, 2012 12:46 AM
Adrian Willanger
206 909-7536 AdrianWillanger-broker.com - Seattle, WA
Profit from my two decades of experience

Congratulations on the featured article, excellent advise to sellers that they need to look at price their homes realistically.

May 27, 2012 01:35 AM
Michael Jacobs
Pasadena, CA
Pasadena And Southern California 818.516.4393

Kim -- thank you.  In a real estate market where prices are rising, buyers who have "lost" multiple homes may have a better grasp of the market than appraisers but it gets into a slippery slope when pending sales were used as "almost sold" -- I've been in situations where the buyer and seller have re-negotiated sales price based on an apprasial each giving up some $$$.

Richie -- I like the Emperors' new clothes reference!

Adrian -- thanks very much for stopping by.  

May 27, 2012 01:45 AM
Chris Ann Cleland
Long and Foster Real Estate - Gainesville, VA
Associate Broker, Bristow, VA

It's so hard to get sellers to detach emotionally from their home and see it through the eyes of a buyer who is comparing it to others on the market.

May 27, 2012 04:42 AM
Kathy Stoltman
Ventura, CA
RETIRED

It is always a marvel how a property is viewed, it is like the sellers have one pair of rosy glasses that they are looking at their home through and the buyers have a different lens in their glasses!

May 27, 2012 08:58 AM
Michael Jacobs
Pasadena, CA
Pasadena And Southern California 818.516.4393

Chris Ann -- very true and the process of emotional detachment is so important to the success of a transaction.

Kathy -- very good example!

May 27, 2012 11:15 AM
Pamela Seley
West Coast Realty Division - Murrieta, CA
Residential Real Estate Agent serving SW RivCo CA

Michael, like Richie #22 comments, reality has a way of interfering with seller's plans. lol 

May 27, 2012 05:29 PM
Michael Jacobs
Pasadena, CA
Pasadena And Southern California 818.516.4393

Pamela -- isn't it funny how that happens in real estate and in life?   Thanks for stopping by and commenting.   

May 28, 2012 12:16 AM
Gina Tufano
Ask Gina & Company with Pearson Smith Realty - Sterling, VA
Ask Gina & Company, Northern Virginia Real Estate

A very common truth among buyers and sellers. Price is set by many factors - current market conditions, size & condition of home, and the homeowners urgency to sell. 

May 28, 2012 01:49 AM
Michael Jacobs
Pasadena, CA
Pasadena And Southern California 818.516.4393

Gina -- and location, location, location -- as you commented there are many different factors that go into pricing of a home but the ultimate sales price is determined by the buyer and seller agreeing on all terms.

May 28, 2012 02:09 AM