Archive for the 'For Sellers' Category
Accurate pricing of a home for sale has become important again. In red hot markets homes will receive multiple offers and the price will be bid up to market value. In a more balanced market multiple offers are not a certainty and a home can be sold for less than current market value. Of course, overpricing it will cause a home to sit and not sell in any market. Now, more than ever, pricing it right matters! Jeff Stricker
1/3/08 The year starts with the biggest first-day-of-the-year stock market drop and $100 per barrel oil. What does this mean to the local real estate market? Not much unless it leads to contraction of the local Silicon Valley job market, leading to reduced buyer demand for real estate. Watch Valley job levels and regional consumer confidence as leading indicators of where the local real estate market is heading this year.
A final comment about following national and state real estate statistics: They are about as effective in understanding the local real estate market as a national or state weather prediction is for predicting local weather. The chance of their accuracy in your area is minimal. The Bay Area market, more often than not, behaves differently than the rest of the country. Our local economy and lack of housing supply are unique. Jeff Stricker
At last, some Mercury News reporters have caught on to the fact that when the median and average prices for homes in Santa Clara County are rising or falling not all homes are moving in the same direction. They have at least been able to distinguish expensive homes from low-priced ones. What about: condos versus single family homes?… homes on busy streets? …a home’s condition? …good vs.bad floor plans, etc.? Homes are obviously not homogenous and therefore they appreciate/depreciate at different rates.
Beware what you read on the web. Recently an Internet based real estate company examined their sales and concluded that vacant homes sold for less, and conversely occupied homes sold for more. Wait a minute! Could it be that the vacant homeowners were more motivated and therefore sold for less? Or was it because they were using an on-line discount brokerage and shortcutting the preparation and marketing? Were they too cheap to stage the vacant home so it looked like a model home? We find that vacant and staged homes definitely sell for the most money – as they are easy for agents to show and show nicely to potential buyers.
In Los Altos Hills there were 3 sales over $4 million during the last week! During the entire third quarter the highest priced sale was $3.2 million. The Valley and its residents are awash in cash and any up tick in confidence is likely to result in a stronger high-end market.