When Selling a Home in 2006 Be Realistic

Author:	Lucas Jones
Source:	Homes Discovered
Date:	August 16, 2006

Ever since the real estate mania of 2005, homeowners have been living with false expectations of what their home is now worth in Santa Barbara.  Home prices skyrocketed last year but have recently started retreating to more reasonable values.  Many people selling homes in 2006 are now having a difficult time selling their property due to their inflated expectations.  There are some things to remember when selling a home in 2006. Appraisals are not always accurate.  Appraisers are like any other human, they have opinions.  Appraisals may be over-inflated if the appraiser has his head stuck in 2005.  They also may be under valued if they do not fully take into account the neighborhood or miss out on a valuable variable.  Appraisals should not be the sole defining source for pricing a home. Homes listed in your neighborhood should not be an indicator of how much your house should list at.  Even if it is the same layout, if the house is currently for sale, you shouldn't use that as the measuring stick.  Most homes are in a different condition, have different upgrades, and even homes with the same floor plan can be worth completely different amounts in Santa Barbara.  Also, if the house down the street is currently for sale, the price tag might be too high.  Check the prices that homes in your neighborhood sold for recently and then take into consideration condition, upgrades and etc before you put that price tag out there. The real estate market changes quickly so only check homes that sold recently, usually within the past few months.  Also, check the average amount of time that homes have been on the market to get a realistic idea of what you should ask for and how long it should take to sell. Put the house for sale at a reasonable price.  2006 is more of a buyers market, so if your house is way overpriced, buyers won't even look at your home. If someone does make you an offer, be professional about it and take it serious.  Don't come out swinging with hardball negotiations, you might never sell your home.  If the offer is lite, be polite and tell them what you expect.  They might offer more or respectfully decline.  Who knows, they might come back later and change their mind since you were so polite.

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