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Wednesday, March 09, 2016

What the Seller's Market Means to Viera Home Sellers....

Its a seller's market so this is a good time to sell your Viera, Florida home, right?  If the circumstances are right, including the decision to sell and move up to a newer or larger home, then it is a good time to put your Viera home on the market.

In an ideal world the decision to sell is a simple economic decision.

Most people, including buyers and sellers, understand the basic economic principle of supply and demand.  A seller's market exists when there are more buyers than sellers.   This is the Viera (and Brevard County, Florida) real estate market in March 2016.

Another economic principle buyers and sellers should understand is the principle of substitution.  Buyers will not pay any more for a house than the cost of an equally desirable, comparable alternative.

What does this all mean for Viera home sellers?

It does not mean owners can just put the house on the market and get their highest price in a couple of days.

Sellers must still properly prepare their home for the market to get the highest price possible.  

Sure a seller's market may cause a buyer to overlook some minor issues with a property.  But, unless there are multiple buyers and demand the price may suffer somewhat.

A short comment about multiple buyers...  Having multiple competing buyers is a good situation.  And prices may get boosted upward because of competition (and emotions).  But the home buying process involves a simple fail-safe mechanism - the appraisal.  Even if the purchaser is a cash buyer the offer will likely have an appraisal contingency.

Appraisals are a bit tricky in a seller's market with slowly rising prices.  Sometimes the expectations of sellers (and their agents) gets ahead of the process.

I just read an article referencing a study of what homeowner's estimated home value vs. the actual appraisal.  The study referenced applications for refinancing but it can translate to homeowners getting ready to sell as well.   The result in February 2016 - appraisals were about 2% less than owner estimates.

Sellers should remember that, even in a seller's market, the highest offer is not always the best offer.

I need to get back on track here with my original intent.... properly preparing a home.

Selling a home, regardless of market, is all about preparation, pricing and presentation.

Preparation and presentation will determine how soon (or if) an offer will be coming.   Pricing is a little more complex and  involves the condition, location, competition, seller circumstances/motivation.  A local knowledgeable real estate agent can put all this together with their comparative market analysis. 

Here are a few articles about preparing your Viera home for the market that go beyond the cutesy advice like... Light and bright will sell a home overnight

Prepare Your Home By Appealing to the Senses.
Easy Fixes Before Listing Your Home.
Don't Neglect These When Getting Ready to Sell Your Viera Home.
The Three Ps to Selling Your Viera Home.

I have written over 150 articles about selling your home.  The above is just the start. If you are thinking about selling your Viera home, please give me a call or text at 321-693-3850.

Finally, here are a few articles about selling your home and appraisals...

What if the appraisal comes in low?
The Only Price That Matters When Selling Your Home.
Terms define the Real Price.

When you are ready to buy or sell a home in Viera, I would be honored if you contacted me at 321-693-3850.  I have lived in the Viera and Rockledge area for twenty years...local knowledge.

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