Overpricing a real estate listing can lead to disaster

    What is my home worth todayWhen it comes to selling residential real estate you need to work with someone who knows what they are doing.

    Each real estate market indicates certain trends. In some markets, due to lacking inventory or low interest rates, buyers move quickly and maybe willing to pay more than the asking or even Fair market value amount. This is typically referenced as being a “Seller’s market”.

    Some real estate markets are plagued with price decreases, low to medium buyer demand and tons of real estate inventory. These markets are typically categorized as being “Buyer’s markets”.

    Then you have the real estate housing variations in between, not at these extremes, but where real estate pricing has to be more dynamic in nature.

    For those complicated reasons, it’s important to know who you are hiring.

    Listen to my Daily real estate radio show

    Watch out – scammer on board…

    If the person you are hiring to sell your home is merely wanting to secure your listing, they may tell you something you want to hear.

    Such as the following. Let us say you are interviewing multiple agents. The agent you are interviewing may ask who else you are interviewing or who else you will be interviewing.

    Their response maybe a “head nod”, with a comment, “Oh, him, he does pretty well…”.

    They may then provide a remark that may help you to doubt your own veracity and ability to choose a qualified realtor.  A remark such as, “His problem is he under-values real estate listings to a fault. In my humble opinion, I have never wanted to give my seller’s homes away. Equity is hard to come buy and I want to maximize on your’s. That is why I will be your best choice. Please sign…”

    Protect yourself – here is how…

    Look at the comparables that the agents are providing. Make sure you get the comparables, before they arrive, so you can sit down and digest them.

    It’s not going to take you hours with a spreadsheet and slide ruler…

    Look for the homes that have closed within the past 180 days, that’s the appraisers standard.

    Look for the homes that are “apples to apples” in comparison with yours.

    If your home has 4 bedrooms – then the homes which they compared yours with should have the same. Bathrooms should also be similar in nature.

    If your home has a Private swimming pool, then the subject properties the agent has selected should have pools too. If there are no comps available with pools, then they should provide you a price adjustment and explanation.

    The agent should also be looking at four types of inventory. The active listings – those for sale currently that match yours – while these are cool to include, there is no guarantee they will see for their listing price. Backup listings – these are homes that have an accepted offer, where the sellers/agent would like additional showings and other offers written just in case. Pending listings – these are homes where the offers are go good that the sellers/agent is comfortable not having the home advertised or shown to any other prospective buyers. In both the back up and pending cases – there is no guarantee and no way to know what the “agreed upon” price was. These statuses have to close escrow before that becomes fact!

    Sold listings – these are those homes which have successfully closed escrow and are now “officially” recorded with their sales prices. Homes of this type, as long as they have closed within the last 180 days are are within 1/2 – 1 mile radius will give you the most bang for your buck.

    When you are ready – Call me and I’ll help you in every way possible.

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    Paris and Connor MacIvor

    Connor and Paris MacIvor are in the Top 1% of Realtors Nationwide, starting their real estate business in 1998 with RE/MAX Gateway - Santa Clarita Valley and Valencia CA. Their becoming licensed real estate consultants and representatives came from the horrible experience they had when they bought their first home. There were many things that the agent they had hired did not explain and disclose, which per law he should have. Getting that agent on the phone after they closed escrow and after he had gotten paid was impossible. Paris and Connor called the broker, the board of realtors, the office manager and all they received was the promise of a phone call back. The remedy did come, but not as fast and in the way they wanted. That act - that bad agent was the reason why Paris and Connor became Realtors. That was all they needed to vow to never let the same fate befall anyone else, that befell them. Today Connor and Paris are focused on client service. Protection and top-shelf service with regard to their real estate clientele. They primarily work within the Santa Clarita Valley and Valencia CA. However, for a referral, where 80+ of their business is referrals they have License and Will Travel to other parts of Ventura County, Los Angeles County, and Orange County to handle real estate transactions for those who trust their real estate operation. Writing on their Real Estate Blog is a passion. SCVnest.com/blog is where you will find over 10,000 real estate articles. Go to SCVnest.com/radio to listen to their latest real estate radio broadcast.

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