With a current low inventory of homes for sale in Southwest Louisiana, it is important to POSITION YOUR HOME TO SELL in the shortest time possible for the best price. Begin by looking at your home though the eyes of a potential buyer. You want your home to stand out in the Lake Charles Real Estate market.
Buyers will evaluate your home based upon the following:
- Location – 75% of the buying decision
- Condition – is the home move in ready
To be among homes that sell, your home must be seen with value to a buyer that will allow justify a top price. If your home is not rated highly in location, size, features, condition, then the price will need to be adjusted for these deficiencies. As a Lake Charles Home Seller you only have control over CONDITION and PRICE
UNDERSTANDING BUYER VS SELLER MARKET
Understanding how the inventory of Lake Charles homes for sale also affects the real estate market and is key when purchasing or selling real estate in Southwest Louisiana.
What determines a Buyer’s market? Most economists state that if you have under four months of remaining inventory, then you’re in a sellers’ market. Five to seven months of inventory is a neutral market and seven to 12 months is a buyers’ market. Over 12 months of inventory and you’re in a poor market.
Realtors do not determine market value. Neither do sellers. Market value is the amount a buyer is willing to pay and a seller is willing to accept for a specific property. Sellers should never price their homes based on what other sellers are asking. The Right Price Analysis will include recent closed sales, current homes for sale, rejected or expired homes for sale and new homes for sale. Realtors will gather data from the categories above as a tool to guide in determine price analysis (commonly referred to as a CMA, comparative market analysis) In a rising or falling market historical data is not always accurate, the only time it works is in a flat market. Absorption Flow Rate must be figured into the equation.
KEEP IN MIND WHEN POSITIONING YOUR HOME TO SELL:
• Realistic pricing will achieve maximum price in a reasonable time
• The cost of improvements are almost always more than the added value
• Houses that remain on the market for a long time do not get shown. 60% of homes sit on the market without selling
• A house that is priced right from the beginning typically achieves the highest proceeds
You must also take into consideration the reasonable length of time you have lived in your Lake Charles home and the available equity you can expect.
FACTORS THAT HAVE NO IMPACT ON THE CURRENT VALUE OF YOUR HOME:
• What you paid for it
• Certain investments made in the property
• What you want to net from the sale
• What those outside the industry believe the property is worth
God grant me the serenity
to accept the things I cannot change;
courage to change the things I can;
and wisdom to know the difference
If your home for sale is not showing on a regular basis and attracting buyers, it is usually an indication that the home is priced too high. Lake Charles home sellers must be prepared to make price reductions when all the real estate indicators point in this direction. Holding firm to your original listing price is unrealistic and uncommon. Statistics show that sellers who make one price reduction, over one third will make a second price reduction.
Copyright 2015© Marilyn Boudreaux
Marilyn Boudreaux, REALTOR® 337-499-9592
Century 21 Mike D. Bono & Co.’s
4410 Nelson Road
Lake Charles, LA USA 70605