WHY CAN'T WE SELL OUR HOME FOR A PRICE AT THE 2005 LEVEL??
BECAUSE HOME PRICE are down to the 2003 levels. THAT'S WHY!!
The composite-20 index, seasonally adjusted is 140.76 and comparable to May 2003 levels (ignoring 2009). Not seasonally adjusted the composite-20 index is 141.30, which also is slightly above May 2003 levels. . . MORE HERE..
This post inspired by Betty and John Knowles.
HOMES WILL SELL. However, the complex matter of pricing a listing for a home for sale takes an experienced real estate listing agent. An agent who knows how to think like an appraiser and is not afraid to do the research to provide you, the home owner/seller with the facts you need to determine a price range.
What do appraisers consider when pricing a home?? They consider the location, square feet, amenities, upgrades, condition and compare these features with homes that have SOLD and settled in the same general area in the past 3-6 months. Appraisers may also consider the SOLD price of distressed properties. Sad but true. Fact is, in some areas, distressed sale may BE THE MARKET.
THAT'S IT!! The appraiser has no interest in what you paid, what you want out the house, what you need out of the house, how much you paid for the upgrades and one thing for sure, appraisers know the difference between replacement of items for maintenance in which case, you get virtually no value as an upgrade. Some things just do not add value no matter what the cost was to you.
Listen to your listing agent. Pay attention to the Competitive Market Analysis (SOLD information) they provide. Drive by some of the SOLD properties. If you are not willing to sell for the market price for today, you may wish to wait and list later.
SOLD IN PRINCE GEORGE'S COUNTY, MD
August 2003, average SOLD price - $207,823
August 2005, average SOLD price - $320,914
August 2011, average SOLD price - $207,823
SOLD IN LOUDOUN COUNTY, VA
SOLD in 2003, average SOLD price - $464,296
SOLD in 2005, average SOLD price - $731,698
SOLD in 2011, avarage SOLD price - $537,254
FACT: 2005 home prices were in a market with low interest rates, buyers hungry to buy and sellers taking their equity and buying up. Interest rates in 2005 were the lowest in about 8 years, 5.8% and buyers were taking advantage of an opportunity. Appraisals were easy because prices were skyrocketing.
FACT: 2011 home prices are at their lowest since 2003 and may never recover to the 2005 price levels. While interest rates are lower still, 4% average, the economy is depressed and unemployment is very high.
LOOK AT THE SOLD PRICES FOR YOUR AREA FOR TODAY, NOT 2005.
Courtesy, Lenn Harley, Broker, Homefinders.com, 800-711-7988.
Courtesy, Lenn Harley, Broker, Homefinders.com, 800-711-7988. HELP FOR HOME BUYERS IN LOUDOUN COUNTY VIRGINIA REAL ESTATE.