“He Who Adjusts Least Adjusts Best” When it comes to pricing a home off of Comp’s (“Comparable Sold Properties”), the trick is to minimize both the number and absolute magnitude of the adjustments. The ideal would be a condo identical to its peers in every respect — floor plan, size, condition, location, market conditions, etc....Read More
The REAL Purpose of Appraisals What is the purpose of an appraisal, in the context of a residential real estate sale? To make sure that, if the Buyer defaults on their loan and the lender ultimately forecloses, the value of the collateral is sufficient to make the lender whole. Or, in plain English: if the...Read More
Advantage: Incumbent Realtor Want one more reason to hire the seasoned, local Realtor (vs., say, your high school buddy, or your first cousin’s best friend’s uncle?). Not only will they get you the best possible deal in today’s fast-paced housing market — but they may very well save it once it progresses to the critical...Read More
“What You’re OK With If You Get It . . . . & What You’re OK With If You Don’t” In my 15+ years selling residential real estate, perhaps the most fraught question I’ve fielded from clients has to do with multiple offers. Specifically, it’s stressed Buyers beseeching me, “What the $%#@! do I offer?”...Read More
The Goldilocks Approach As I’ve discussed in previous posts, the essence of pricing real estate is what’s called “bracketing.” (See, “Bracketing,” Explained“; and “Why the Neighbor’s House Usually Isn’t a Comp“). Translation: you need to find a home that’s just above the home you’re trying to price (called the “subject property”) and one that’s just...Read More
Effect on Property Values More Complicated Than You’d Guess So, how big a premium do homes in stellar school districts fetch? Conversely, how much of a discount is baked into the price of homes in poorly regarded school districts? Two Sides of Same Coin Step #1 is to realize that one size doesn’t fit all — that...Read More
