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5 Things Real Estate Agents Wish You Knew About Buying a House




 

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Don't Put Faith in These 7 Home-Pricing Myths


house-pricing-myths
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Pricing your own home is hard, what with all the history and hopes this magic number entails. Of course, you want to make a profit. Of course, all that money you spent installing a swimming pool or a half-bath will be recouped, because you're leaving your digs in better shape than when you bought it, right? Right?
Well, not necessarily. Too many home sellers fall prey to myths about home pricing that seem to make sense at first, but don't jibe with the reality of real estate markets today. To make sure you haven't bought into any of this malarkey—since the buyers you're trying to woo sure haven't—here are some common pricing myths you'll want to rinse from your brain so you kick off your home-selling venture with realistic expectations. It's time to get real, folks!
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1. You always make money when you sell a home

Sure, real estate tends to appreciate over time: The National Association of Realtors® estimates that home prices will jump 5% by the end of 2017 and continue rising 3.5% in 2018. But selling your home for more than you paid is by no means a given, and your return on investment can vary greatly based on where you live.
The NAR also found, for instance, that the cost of single-family homes increased in about 87% of the metros it studied, but prices actually dropped in 23 markets. So don't assume you'll walk away with a profit until you've examined what's up in your area first.

2. Price your house high to make big bucks

We know what you’re thinking: “Hey, it’s worth a shot!” But if you start with some sky-high asking price, you'll soon come back to Earth when you realize that an overpriced home just won't sell.
“While the payday might sound appealing, you're actually sacrificing your best marketing time in exchange for the remote possibility that someone will overpay for your home,” says Kathleen Marks, a Realtor® with United Real Estate in Asheville, NC.
While certain buyers might be suckered in, this becomes far less likely if they're working with a buyer's agent who will know all too well when a home is overpriced, and advise their client to steer clear. And this can lead to problems down the road (as our next myth indicates).

3. If your home's overpriced, it's no big deal to lower it later

Sorry, but overpricing your home isn't easily fixed just by lowering it later on. The reason: Homes that have lingered on the market for months—or that have undergone one or more price reductions—make buyers presume that something must be wrong with it. As such, they might still steer clear, or offer even less than the price you're now asking.
Bottom line: “Price your home appropriately from the beginning for your best shot at having a quick and easy sale,” Marks recommends.

4. Pricing your home low means you won't make as much money

Similarly, sellers are often leery of pricing their home on the low end. But as counterintuitive as this seems, this strategy can often pay off big-time. Here's why: Low-priced homes drum up tons of interest, which could result in a bidding war that could drive your home's price past your wildest dreams.

5. You can add the cost of any renovations you've made

Let's say you overhauled your kitchen or added a deck. It stands to reason that whatever money you paid for these improvements will be recouped in full once you sell—after all, your home's new owners are inheriting all your hard work.
The reality: While your renovations might see some return on investment, you'll rarely recoup the whole amount. On average, you can expect to get back 64% of every dollar you spend on home improvements. Plus that profit can vary greatly based on which renovation you do.
Check out this list of common renovations and their return on investment to know what you can actually expect.

6. A past appraisal will help you pinpoint the right price

If you have an appraisal in hand, from when you bought or refinanced your house, you might think that’s a logical place to start to price your home. It's not!
An appraisal assigns your home a value based on market conditions at a specific date, so it becomes old news very quickly. In fact, lenders typically won’t accept appraisals that are more than 60 days old.
“Since lenders know markets can change in six months’ time, it's important for sellers to understand that a previous appraisal is never a reliable source for the current value of a home,” Marks says.

7. Your agent might overprice the house to make a bigger commission

Don’t even go there, says Realtor Raena Janes of RJHomes in Tucson, AZ.
“While it’s true that an agent’s commission is based on the selling price of a house, the disparity will end up being negligible,” she says. For example, the difference in commission between a $300,000 house and one that's $310,000 is about $150.
“No real estate agent is going to lose a sale for the sake of a couple hundred dollars,” she explains.
Cathie Ericson is a journalist who writes about real estate, finance, and health. She lives in Portland, OR.



For More Information On Chautauqua Lake Real Estate and Living Visit: www.chautauqualakehomes.com

Chautauqua Belle Tour to Educate Water Importance- Evening Observer



Submitted Photo The Chautauqua Lake Association and The Chautauqua Watershed Conservancy invites the community to take a tour on the Chautauqua Belle to learn about healthy waters.
Submitted Photo The Chautauqua Lake Association and The Chautauqua Watershed Conservancy invites the community to take a tour on the Chautauqua Belle to learn about healthy waters.
Everyone lives in a watershed and Healthy Landscapes lead to Healthy Waters. How people conduct their lives can have an effect on the water quality of Chautauqua Lake. Fortunately, there are many simple things that people can do to be stewards of Chautauqua Lake and help to decrease the amount of sediment and nutrients entering the lake and polluting the waters.
The Chautauqua Lake Association and The Chautauqua Watershed Conservancy are both non-profit organizations that share educating the community about Chautauqua Lake’s ecosystem and environmental lake management practices in their mission statements. Both are dedicated to addressing the root causes of the excessive plant and algae growth and loss of lake depth due to sedimentation and runoff. Together, the organizations have more than 90 years of experience with research-based approaches and dedication to protect our beautiful Chautauqua Lake and they are partnering on an educational campaign to inform the community on how people’s actions in the watershed can translate to a healthy Chautauqua Lake.
The community is invited for an evening on the Chautauqua Belle to observe and learn about the importance of natural shorelines, buffer strips and re-naturalization projects occurring on the shoreline and in the watershed to prevent and reduce water pollution, soil erosion and mitigate clear water and a healthy Chautauqua Lake. The event is Tuesday, Aug. 22, at 6 p.m., board the Chautauqua Belle in Mayville and take a two-hour tour of Chautauqua Lake’s shoreline in an entertaining, enjoyable and educational venue to learn personal watershed management techniques and environmental lake management practices, because A Clean Lake is Everyone’s Business.
Wine and Spirits tasting will be provided by Mazza Vineyards and Five & 20 Spirits. Tickets are available for presale for $20 per person online at http://chautauqualakeassociation.org, by contacting Chautauqua Watershed Conservancy at 664-2166 or Chautauqua Lake Association at 763-8602 or $25 per person the night of the event.



For More Information On Chautauqua Lake Real Estate and Living Visit: www.chautauqualakehomes.com
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Office: 716-484-2020 Ext: 252
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