Why the Worth of Your Home is Still Just a Guess.
You may not have thought about selling your home. But I am sure that you have at least at some point thought about what it is worth. The worth of your home has remained a guessing game for the most part with all sorts of participants in the real estate world weighing in on the best way to determine the worth of your home. And then there is you. You have put your hard-earned dollars into upkeep and repairs, landscaping and upgrading and after all of these “investments,” you still can’t determine what it will retail for on the open market. So why is the worth of your home still just a guess?
You May be Blinded by Emotion
The root cause may real estate blindness, an affliction that seems to remain dormant until you decide to sell or begin considering the process. And then it throws itself at you, covering your best judgement in a cloak of emotionalism. You only care for things you love and each time you consider remodeling or upgrading, planting or painting, you show your emotional attachment. That’s okay. In 1890, William James wrote in the Principles of Psychology “A man’s Self is the sum of all he can call his.” Karen Lollar wrote even more recently in her 2010 book “The Liminal Experience: “My house is not ‘just a thing.” The house is not merely a possession or a structure of unfeeling walls. It is an extension of my physical body and my sense of self that reflects who I was, am, and want to be.”
Your Neighbors were Blinded by Emotion
One of the first things an agent will do when you are considering selling your home is research. They know your house is unique and special. But the rest of the world wants to put a price on your infatuation by using the sale price of other similar homes. These homes are referred to as comparables.
And those sellers were also blinded by their emotions and may have tried to price their home higher than it might have been realistically worth. Two things may have happened as a result. If they dug their heels in and listed for too high of a price, that home may well still be on the market. Each additional day supports the argument that it is incorrectly priced and each day suggests there might be other things wrong with the neighborhood. The second is more subtle and nuanced. Homes may be worth less in your area and this reality will not settle well with you when the agent explains the difference between what the home is worth (based on other homes) and what you think yours actually is. (The only way a comparable meets your expectations is if buyers have shown their infatuation and priced your neighbor’s home higher than it might really be worth).
The Vision of a Good Agent
There is also a chance that your home should be priced higher than other homes and a good agent will see this. The sweet spot, the right price that will allow you to get good value without a lengthy selling period is the main reason why you hire a professional.
Should we talk now?
On behalf of The Jones Group @ Sunriver Realty
Nola Horton-Jones, Principal Broker/Realtor | ABR, C-RIS, e-PRO, GREEN, RSPS, CCIM Candidate
Bryce Jones, Broker/Realtor | ABR, CRS, e-PRO, GREEN, GRI, RSPS, SFR
The Jones Group @ Sunriver Realty | 57057 Beaver Drive | Sunriver, OR 97707
Mobile: 541-420- 3725 | Mobile: 541-420- 4018 | Fax: 541-593- 5123
Licensed in Oregon