What's my home worth?

(Is that Market Value?)

One of the most important factors in selling your home is the sales price. In
comparative pricing, you should be realistic and careful not to overprice or underprice
the property. Value is a relative term and every home is in a price range.

To determine the value of any property, there are three tests that are used in the industry. One is "Market Value" or what other homes have sold for. Another is "Replacement Value", i.e. what would it cost to build the home today? And the last determination is based on what someone is willing to pay for your home. When selling in the resale market, the replacement value carries the least amount of weight.

Let's look at the other two.

Market value is determined by comparing your home to similar homes that have: (1) sold and settled in the last 6 months, and (2) are in the same neighborhood. Because of today's slow market, the criteria sometimes need to be expanded either to include a longer selling time and or a different neighborhood. Each exception must be justified.  The value is compiled by comparing floor plans, style, age, improvements, taxes, and neighborhoods.

The work and cost to maintain your home (you know, all the repairing and replacing) should not be added to the sales price. The cost to maintain the home does not increase it's value. But, it may help you get a higher offer, quicker. The same is true about "upgrades" : those things you paid a little extra for like the carpet padding, better appliances. ceiling fans, custom drapes, professional decorating This shows your pride of ownership, and may help you get a better offer, but should not be added to the value. Remember, we said that value is relative and that every home is in a price range. A
well maintained home that is decorated attractively and shows well can be considered in the top of the price range.

The last consideration in pricing your home is market value. What is someone else
willing to pay for your property? This doesn't just mean price. There are other factors
that effect the net worth to you. Market value may include such items as points paid,
seller's concession, length of time to sell and other incentives offered to make the sale
work.

Pricing your home is not a science, it is an art.

HOW MY HOUSE LOOKS

(Warm and inviting)

Once inside, the purchaser will be looking at, or distracted by, the way the rooms are
decorated. Without changing your own personal taste you can "spiff" up the way any
room looks. First, and most important; the room must be clean For most of us that
means it needs painting. Don't forget washing the windows as well as the curtains and
cleaning the carpets.

Second on the list is the need to create the appearance of space. Open your closet
doors. Are they overcrowded with clothing, boxes and other things just stuffed in? An
overflowing closet is proof 
that there is not enough 
storage space in your home. 
As you straighten it out, start 
your packing. Box up things 
you won't need until next 
season; put them under a bed 
or in your mother-in-laws' 
basement.

Do you have a lot of furniture? 
Would the room look more open 
without that extra table? Would 
the dining room look larger if you removed the table leaf and two chairs? The size of the 
bedrooms is always a concern for purchasers. Use light and mirrors to create a feeling of 
openness.

Flat space should be for forget-me-not treasures, not old newspapers. You know, all
those special magazines that you are saving because of articles you want to read or cut
out. They need a new home now.

Special attention should be given to kitchen and bathroom counters. Shine is the word
here. A purchaser will remember dirt and clutter in these rooms more than in any other
room.

In the kitchen, weed out casual use items you absolutely don't use every day.
Everything else should go into cupboards or be packed up. Should the cabinets be
waxed? Would~ new door knobs help their appearance? Consider similar actions with
bathrooms. If there are items on counters consider this "If you don't use it daily, please
put it away". How about new shower and window curtains with a matching rug on the
floor?

These are the little details that help to make the purchaser feel comfortable in your
home.