The other day I met with a couple who are looking to buy a Franklin TN home. They are moving into the area from a location just outside Williamson County. Some of these areas aren't performing as well as the Franklin market.
We discussed the need to sell their home prior to buying another and scheduled a listing appointment for later this week.
Last night, I received an email from them stating they wanted to see the comparable home sales in their neighborhood for the last two years. Home sales from two years ago aren't relevant. Housing markets go up and housing markets go down. What the housing market was doing two years ago isn't crucial to pricing your home today.
Appraisers will only use data from the last six months. Many are most concerned about the sales within the last 90 days. They understand some markets are on the rise, while others are trending down. Sales from six months ago may not even apply any longer.
When I prepare a competitive market analysis, I will go back six months to study those sales but I'm most interested in sales completed within the last 60 days. That is a much better indication of OUR market.
I'm less concerned where other homes in the neighborhood are priced. These are UNSOLD homes that may have been on the market for months. I am only interested in SOLD homes. Those are the homes that were priced right and were able to successfully make it to the closing table.
THAT'S WHAT SELLERS NEED TO KNOW! Which sellers priced their homes right.
The sellers who priced their homes wrong learned a valuable lesson--where not to price your house. That's a lesson we don't want to learn. Instead, we want to learn from their mistakes, not make our own.
Are you surprised that I'm saying the sellers priced their homes wrong? You see, I don't price your house. I review the recent sales. I suggest a range based upon those sales. Ultimately, the seller chooses where to price his house.
My job is to market your house, not price it. The person who actually determines the value of your home is the buyer. Buyers are always the ones to determine value. They decide what they are willing to pay for your house. No one else.
So I won't be bringing two years of data to the appointment. The information I present will be valuable to you but it will reflect recent home sales. Because that's all that really matters.
Franklin TN home sales from two years ago aren't relevant!