Would you sell your home if you could net enough to avoid a Short Sale? Tight inventory level of homes for sale in Silicon Valley is helping sidelined home owners who thought their home was under water, to reconsider their options! Some of these owners are exploring sale as an option as the market continues to heat up during the Summer season. So how can you find out if you can net enough money to avoid a Short Sale?
One crude and simple way is to rely on Trulia or Redfin who report on sold Real Estate transactions. But these sites will only provide a “crude estimate” since they offer no feature to filter for unique features of a home. In addition you will need to know how much each lender would require based on an estimated closing cost, interest payments and other calculations based on a specific close of escrow date.
That’s why it’s worth contacting a Real Estate broker or agent. This agent can request Payoff amounts from your lender(s) to find out the if you can avoid a Short Sale and list your home for it’s Fair Market Value. And depending on the net amount and your plans, this agent can develop a marketing strategy to help you get the maximum amount for your property. In fact, we have written blogs about strategies to maximize your net proceeds from your Home Sale which we strongly recommend for everyone considering selling their home.
However, it’s smart practice to interview several agents to get a better understanding on how they would market your property to get you the highest possible price. Avoid the agents who will quote you outrageously high prices just to secure the listing using the highest price home value on your neighborhood! You need to focus on SOLD home prices that closed escrow within 1-3 months of today. Also, the sold comps selected to find your home value should be adjusted for size, if the comps are differ more than 300 sqft from your home’s size. Also, if the comps do not match the age of your home, to find your home value, the final valuation has to be adjusted if the homes differ in age by more than 5 years.
In summary, the best way to Find your Home Value is to use the same techniques thank banks use to price their properties for sale. And just like any other valuation method, it takes decent amount of experience to be able to Find your Home Value that can be used to market your property successfully. So the best way to find your home value is to request an eBook on your home which will include Sales, Mortgage History, Recent Sales, Foreclosure Activity and even Fair Market Rents.
Now that your home is not selling, what will you be your next move? Let us know.