Market Value
"The highest price estimate, in terms of money which a property will bring if exposed for sale in the open market allowing reasonable time to find a buyer who purchases it with knowledge of the uses to which it is adapted and for which it is capable of being used." (As defined by the Courts)
OR
It is referred to as the price a willing seller would sell and a willing buyer would buy, neither being under abnormal pressure.
HOW?
Realtors typically price a home on the basis of three or more 'comparable's' which are similar properties that have recently sold.
Then they adjust for distinct features of the house and property in question, considering condition, age, size, etc. and level of competition in terms of other homes for sale nearby. In the end, the Realtor recommends a price range for marketing the home.
How Long Does it Take to Market a Property?
The length of time it takes to market a house will vary.
Some properties will sell in just a few days, others may require several months.
The following are the six factors that influence the time it takes to sell a property.
COMPETITION
Every Buyer makes his decision about which home to buy and how much it is worth by his other choices at the time he buys. The supply of other choices the Buyer will compare with your home is constantly changing each week and month. The current competition always affects the Buyer's opinion of your property and what he thinks it is worth. So, the question is: What are the Buyer's other choices at the time they are shown your property.
PRICE
If the property has not sold after a reasonable length of time, but other similar properties have sold, then the price may need to be reduced. If this is true and the price is not reduced, a sale may be delayed or prevented.
PROPERTY
If the property should show poorly or have major defects which cannot be, or are not corrected, a sale may not occur until the defects are corrected or the price is adjusted to compensate for them.
FINANCING
The current cost of mortgage financing plays an important role in affordability to most prospective buyers. If these costs are too high, then the financing may cause a delay or prevent the sale.
TIMING
Timing is the condition of the real estate market at the time of the sale. Supply and demand are the factors influencing whether it is a Seller's or Buyer's market. Neither the seller nor the listing agent can change the market condition at the time the property is for sale. It must be accepted for what it is.
MARKETING
Marketing techniques are being constantly tested and updated for the best results. But, even expert marketing has limitations because marketing cannot overcome any of the first five factors if they are out of balance and remain uncorrected. I will supply you with a constant flow of updated information which will help you determine the marketability of your property.
Sean Wardell
Sutton Group - West Coast Realty
#100 - 889 Harbourside Drive, North Vancouver, B.C. V7P 3S1
1 Of Vancouver's Top Realtors For Over 17 Years!
Phone direct: (604) 990-0999
e-mail: seanwardell@hotmail.com
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