Why is the assessed value different than the market value?
Many homes can be sold for significantly more than the assessed value and some may be sold for significantly less. Different from market value, the assessed value of your home is used by your local municipality for tax purposes. The assessed value is multiplied by the local tax rate to determine what your property taxes are each year
This confuses many home buyers who wrongly believe that a home that is listed higher than the assessed value is overpriced. Likewise, some home buyers believe something must be wrong with a home if the list price is less than the assessed value. Market value is less affected by assessed value and more to do with the inventory of homes on the market and what comparable homes are selling for currently.
What is the difference between the list price and the sale price?
The list price is the price that you use when listing a home for sale. The sale price is the price that is negotiated between a buyer and a seller, and is the price at which the home is sold. As top realty professionals, the GU Crew strives to recommend a list price that is very close to the final sale price.
How do you determine how much my home is worth?
The GU Crew determines what your home is worth by completing a comparative market analysis (CMA). This is an in-depth evaluation of comparable homes recently sold homes in the past 6-12 months.
Our realtors will take into account many features of your home and the local area and neighborhood. Considerations in a CMA include your home’s:
Can I determine how much my home is worth from a website?
No, we do not advise pricing your home using websites. Third party real estate websites such as Zillow and Trulia, are not local and do not take into account the unique real estate market in your area. These websites show computer-generated home values with calculations and formulas that use assumptions based on national averages.
Inaccurate estimates from these websites can lead to a false assessment of market value. Of course, when a home seller is told their home is worth $20,000 less than the online estimate, it can be frustrating. However, overpricing your home and not having it sell in a timely manner can be even more frustrating. A professional real estate agent in your area is going to give you a more accurate assessment based on local information.
Should I price my home higher to leave room for negotiations?
No, a well-priced home will sell quickly and its sale price will be close to the list price. Some sellers believe they should price their home higher than what their realtor suggests to leave room for negotiations and low-ball offers, but, that should not be a consideration when pricing your home as today’s home buyers are well educated and The GU Crew will help you negotiate.
Contact the GU Crew today for a CMA or other questions regarding listing your home for sale.