A couple of years ago we were asked to give a listing presentation for a luxury lake property...we were one of three agents that presented to the Sellers who had a bottom line in mind for their lovely home. Our analysis is not a CMA....(Comparative Marketing Analysis.) That method...though it is one that every...or at the very least...most...Realtors are taught never made very much sense to me ...and to us, makes less sense now.
It is the easiest and fastest way to do a home valuation. For consumers who may not know...An "MLS generated" Comparative Market Analysis is done by putting various features of your home into a computer program. These are "non subjective" aspects...number of bedrooms,bathrooms,garage spaces, year built, style, lot size, school district. Agents may pick and choose the things they feel most describe your home and then choose a radius from your home to find comparable homes that have listed and sold within a specific time period. Leaving out or putting in time periods can wildly sway the results.
Our methodology is different...it is lengthy and time consuming...and we believe, much more accurate. It is part of what sets us apart from other agents. Taking the time to arrive at what we believe to be the most accurate price..pays HUGE dividends...most importantly to the Sellers. An accurate price that the market accepts means an offer more quickly and higher than one that is above the market....and often these days can mean an over askng price war. In a couple decades of our love affair with real estate...initially from landlords/ladies and flippers to licensed Broker Associates....we have only had five expired listings....Most of them being back in the day when short sales were not "popular" . That is a statistic of which we are most proud.
We presented our home valuation to the luxury home owners...it did not meet their price expectations of list price...though we were given to understand that the other two agents did provide values in the Sellers desired price range. Mr. Seller was very much a "numbers" person and understood from our presentation how what they wanted was not what they would get. As a result...they opted not to list their home at that time.
Fast forward....We of course...kept them on the Purple envelope snail mail newsletter list....and got an email...."...We would like you to do another valuation of our home ." Yes, yes, yes...another visit to the house which had some improvements made to it since we had last been there and we needed the memory "refresher." This time...their price expectation was different...AND our valuation was higher. It's an honest...WIN ! WIN ! Not quite ready to hit the market..it will be at a mutually agreed upon price...in great condition and ready for new Buyers to call home. A taste of marketing that is paying dividends to all concerned...the best price for the Sellers and shiny new listing for the Hansons...honored to be Broker Associates serving southeastern Wisconsin.