In preparation for a listing presentation I made a graph of the last sales in a particular townhouse complex that is in a demand neighbourhood near the Islington Subway.
What would you tell a Listing Prospect?
The last sales in 2008 are 440.0, 458.0, 469.0 448.0, and 468.0 thousand.
Human nature wants to have the highest value for their sale as their home is naturally the best in the complex. Since the last sale, we have had a stock market adjustment and a real devaluation of all capital assets.
If we assess this based on the Toronto Market Watch reporting decline of 15% of VALUE y0y our new asking prices should be $399.0 This figure is inline with another complex offering similar values NEW directly from the builder with remaining inventory available.
Why would an agent encourage Listing at these values? when they themselves should not have the confidance that they will be achieved? Sign Calls! They generate direct Buyer Activity that they can then bring prospects to view... OTHER listings.
From the Buyers perspective, in my 20 years of shopping for homes, buyers inherently ask the same questions, Why are they selling? How much do you think we can get it for? and the ultimate question, What did the last one sell for?
It is incumbant upon a professional Buyers Agent to assure and ensure that his Buyer is making a prudent financial choice today. Financial institutions are appraising these properties very carefully to value their security. If the property does not appraise you may be required to increase your downpayment to maintain the level of financing available compared to purchase price. We don't know what will happen tomorrow, but today we want to be comforted that we have made a financial analysis and evaluted the values and trends properly.
If you are considering selling your property this year and moving up to something better, I would be pleased to meet with you and discuss your needs.