Appraisals In Clarksville, TN

By
Industry Observer with BeYoutiful HS KY License #68778

 

Well, I told you in my previous post that I would let you know what is going on in our market. Here I go….

So you have sold your house, meaning you have a contract on it, and the next step is to get the appraised value.  Your agent did a CMA, Comparative Market Analysis, on your home when it was listed about 5 months ago.  Your agent never recommended that you come down on price or even discuss the issue of why they believe it took 5 months to sell. In our market it is pretty easy to see why homes aren’t selling like they did a year to two years ago.

It finally happens! You are happy and excited you got a full price offer and it is going to close in less than a month!  But is it really going to close?  My intention of this post is not to scare you but to inform you that there seems to be a little bit of a “problem” with appraisals in Clarksville right now.

The problem is defined by the area you live in. Are you living in one of these areas? If you are a For Sale By Owner, it is imperative to know what the market it doing. You really don’t know unless:

  • you are working with an agent
  • you have a professional in the real estate field, a friend that doesn’t mind helping you sell your home
  • you have that inside scoop to all real estate issues that brokers share with their agents in our local market

It is no longer easy to put a home on the market and within 2 months or less have a great deal and closing with a sizable profit.  Those times are very far and few in between.

In 2005 we put our home on the market and sold it on the 7th day for the price we listed it at! I remember in 2006 when I sold a home that I listed, it sold in 17 days. This seller made over $20k in pocket and had only owned it for 2 years! (Other factors came into play with the reasons why they made so much on their home. One of which was they put $100 or more on their monthly payment.) Another home in the same subdivision I listed sold in 21 days. This home was the highest listing sold in the subdivision and still is today.  It appraised for the exact listing price! As the years have gone by, the days on market have increased and most importantly the appraisals have decreased.

We are now living in the “real” times and our market is starting to experience what you are hearing on the news in other markets. It is hard to sell your home in the time frame we all want! There are more creative things that will need to be done to market the home besides putting a sign in the yard, putting it on the MLS, putting fliers in a box on your sign and putting it in the local paper. Don’t let me scare you, it isn’t nearly as bad as California, Florida or New York. We still have a wonderful market and we owe a lot of it to our Military. If it wasn’t for military relocations, we wouldn’t be where we are today in Clarksville. I believe with the local citizens we have here, it would still be a wonderful place to live but the growth wouldn’t be what it is today without it being one of the major hubs for our military.

If you are trying to sell your home by yourself, it will more than likely be in your best interest to have it listed by a company that has a Realtor to represent YOU in all areas of the transaction from the beginning, in the middle and to the end. The middle part is starting to have issues and if you aren’t a professional in this field of work, then you will need one that is trained with many hours of real estate training and has the experience to negotiate with everyone that comes in contact with your property from beginning, middle and end!

I know some of you might not want to hear this. I sure wouldn’t if I was selling my home and was looking to save some money by not hiring a professional Realtor. If I was thinking I could do it by myself, which you could if we were living in a market like the years before us, I wouldn’t even consider looking at other Real Estate Agents. Like I am sure so many of you have. But there are A LOT of benefits to having a home listed by the right agent, right now!

Research is so important to the FSBO and if you don’t have experience or the agent to represent you, you will get an offer from someone who does and believe me, that agent knows the contract and knows how to negotiate and represent their buyer.  Do you know what to look for in an offer to protect you?  That is what we are trained in.  We are a professional in this field and there are so many that are in it to actually help people with the sell of their home and not just out there to take money from you.

Real Estate is a wonderful profession. It is based off commissions only, which is the only down fall, especially when you are in an economy that has taken the blow we have. I viewed real estate agents before I became a Realtor like this:

  1. They know the law and the contracts, I don’t. Do I want to jeopardize the best deal I could get by leaving it my hands, someone who hasn’t been given a license to sell Real Estate.
  2. If they tell me a price I don’t like, then I will tell them what I want and see what they have to say, since they are the professionals. (When we sold our first home over 4 years ago, the agents came in with their CMA and wanted to price it at a lower amount than what we had in mind.  The decision, we were told, was up to us. They didn’t like it but we had the final say. We ran the risk of screwing ourselves into keeping our home on the market long but we knew how to read the CMA and run some numbers, so we listed it at the price we had in mind and would give it a try for 30 days. It sold for our price in 7 days. That experience with “our” real estate agents is what convinced us that we needed to get into this field to help sellers. It was kind of a bad experience and we wanted to make others have a better one than we did.)
  3. Do I really need one? I have sold things before. You might say, “I have done yard sales, bought off ebay, bought a car and negotiated my price.” Oooooo, but there is a good one! Would I go to a car lot and buy from someone who didn’t know anything about cars? Is a buyer going to go to a house that is FSBO and buy from someone without an agent? It is rare that an agent isn’t somehow involved but it does happen. Normally, the buyer already has an agent and going through your neighborhood to see homes from the Mulitple Listing Service, passes your “for sale by owner” sign and wants to see it. The agent calls and asks you if you would consider signing a one time showing agreement that will touch base with the agent getting paid for showing your property that will bring the offer that day.  If not, then you could lose a possible buyer.

Sometimes buyers and/or sellers think that they will get a great deal when the seller tells them they don’t have an agent. They will save money and have more to bargain with because there is only half commission but there still is negotiating the price lower going on. If someone comes along without an agent, you know they will tell their friends and it will be suggested that they find a Realtor. Why? The little things that are important in a contract might never be brought up because neither party knew they existed. That is what a lot of consumers don’t understand.  The car and the house are major purchases but the house is what you will be in more than the vehicle. Do you want your heater going out within the first month after closing? Do you know what to do when that happens besides calling a heating and air company? Did you have any protection in your contract? You know the buyer will be calling you because they will think they got a bad deal. Why not have an agent to be the one to help? There are so many details.

If you decide to hire a professional in the field of real estate, the most important part is interviewing that agent.  You want to make sure you have the right agent and that you will be able to work together to sell your home!

If you are interested in interviewing Team Agnew, we will share with you what our markets look like and how appraisals are affecting the selling prices in your area. Please contact us to schedule an interview. We will share our marketing strategy that is creative and our marketing plan to sell your home!

To view our listings and see them on street level, please be sure to click on the yellow man and move him to the home you would like to see. You can also search anytime, in “real time”, ALL lisitngs from every company. Also our featured listings are being scrolled through at the top left hand sidebar at all times.

It is important to learn more about your Realtor. If you have any questions or concerns or you would like to schedule an interview, please call or text  (931)206-2156 (if you are AT&T wireless it’s a free call) or send us your information to: TeamAgnew@bellsouth.net

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Appraisals In Clarksville, TN

Posted by

Thea Byrnes

 

Comments (2)

Tim and Pam Cash
Crye-Leike (Sango) - Clarksville, TN
Real Estate Professionals - Clarksville TN

Thea, excellent post!  Very informative and certainly valid in today's market.

Jan 17, 2009 02:53 AM
Roland Woodworth
eXp Realty - Clarksville, TN
eXp Realty

Thea: Did you hear about the low ball appraisal that was mentioned in sales meeting today.. Oh my... how could that be ?

Jan 22, 2009 03:39 PM