Below is a link of all the active waterfront homes currently listed for sale in the Ocean County Multiple Listing Service followed by what has closed on the water in Tuckerton Beach since 6/1/2008. Please click on the link, then scroll through. This will show you what your competition is along with solds to get a pulse on the market. I can tell you, since the 1rst of the year, buyers are calling and emailing us as agents more, offers are being made and contracts are getting accepted. I think with the mortgage rates where they are and the sensable pricing of sellers, smart buyers are making their move before the spring market.
You could "bite the bullet" and pay to have an appraisal done. The benefit of a formal appraisal is people usually feel a higher level of security when they encounter the term, appraisal.
Another benefit is you can advertise "at or below appraised value."
I agree with those who are ill advsing regarding an appraiser, comps from agents should be suffiicient at this time.
Last I heard, due to the everchanging market conditions banks are requiring appraiser to only include the past three months of sales. Many realtors are advising sellers to price "ahead of the curve" to make their homes more appealing to homebuyers.
Francesca Patrizio, Realtor Associate
Realmart Realty - An AFFORDABLE Way to Sell Your Home
$395 FLAT FEE MLS
Ranked #15 out of 436 Real Estate Brokers in Monmouth/Ocean County MLS in 2008
This, of course, is always subject to change especially as the new Obama plans are rolled out, then implemented and the impact of these plans become clear. In my opinion, I can't image we will see the effects of any of Obama's plans until possibly the end of Q2, start of Q3.
Finally, be sure that when pricing your home you use LOCAL price depreciation statistics (I used the 2% scenario to simply the explanation). The national average price depreciation may not necessarily apply to your market. Remember, real estate is local and I would highly recommend consulting with a FULL-TIME, epxerienced Realtor in your area to determine Tuckerton's local depreciation.
Hope this helps.
To directly answer your question "Francesca, Your suggestion of pricing the home "ahead of the curve" indicates that house prices are still falling, and the longer I wait to put my house on the market, the less I can expect to get. Is this correct? ", all I can say is that it is all speculative. In advising clients, I let them know that there are varying opinions about the current market and it's future and all I can do is predict based on the information I feel is most informative as one whose primary focus is buying and selling real estate.
Due to the plethora of information available (thanks to the internet), I've scalled down my readings to (1) the WSJ, because it gives a perspective from the financial markets, (2) the National Association of Realtors, who in my opinion, has the most accurate data, yet, whose perspective is to the benefit of the the real estate industry as a whole and (3) the general LOCAL media before drawing any conclusions.
Based on my findings, the conclusion I have drawn is this: The RE market will continue to decline in 2009, flatline in 2010 and see a small appreication in 2010. Therefore, selling your home today vs. 2 years from now will not produce any additional profit (ie., for example, 2% decline - 0% decline + 2% increase).
As for the "ahead of the curve" methodology, I personally have found it cumbersome at getting my sellers the current highest possible price for their homes as homes priced with this methodolgy become direct competition to my home sellers.
Also, this ever changing market has also thrown us all a curve ball (or two). In 2007 and early 2008, "short sales" were not to be considered in providing CMAs (comparable market analysis) to clients (meaning that the house around the corner which sold for less than market value would not affect your current house value). However, now that almost 50% of home sales fall into the short sales category, appraisers and banks are now requiring that these home be considered in the evauluation of current market value . . . I was sickened when I heard this and proceeded to call multiple resources in the hope that I had been mislead . . . unfortunately, it was a said truth to which everyone concurred.
I don't proclaim to be an expert on the Tuckerton area, but the few experiences I have had with potential home sales in Tuckerton has been longer days on market and wishful sales due to its southernmost location.
You may benefit from the services of a flat fee company, such as Realmart, the company I am currenty working with. Feel free to visit http://www.PatrizioRE.com for a menu of our services.
Al the best,
Francesca Patrizio, Realtor Associate
NJAR Circle of Excellence '06-'07
Realmart Realty - An AFFORDABLE Way to Sell Your Home
Ranked #15 of 426 Real Estate Brokers on the Monmouth / Ocean County MLS!
When people feel that they are not afraid of loosing their homes and jobs, I'm sure that the "curve will be upward, although only after a period of stabilization. You might also tell me how long that period will last, since my darn crystal ball is still stuck on when we will discover that the fellow who declaimed "VOODOO" economics was right!
Francesca, Your suggestion of pricing the home "ahead of the curve" indicates that house prices are still falling, and the longer I wait to put my house on the market, the less I can expect to get. Is this correct?
Take a good close look at your direct competition. Your immediate competition is what is currently on the market. Where does your property honestly fit in?
Better then? Not as good as! Then price it accordingly.
All the best,
Feel free to go to my web site listed below for free advice on how to use the Internet to sell your property.
I would avoid the appraisal at this time. The fee can be high and the value that will be credited will be the value of the home.. not the actual market value.
Bill I was an appraiser for several years. What you need is future market value not yesterdays. Talk to several agents, you will get a feeling for a range of value. I don't list in your market, I'm in Barnegat, but i can help you pick several good agents in your market if you wish.
One last thing, i have been through the ups / downs of real estate markets, this one is different. I have 40 years experience in real estate call me if you need help. 732-778-9933
First, they charge a fee. Two or more will be that much more cost.
Second, they operate on a basis of value for mortgage consideration and estate valuation, not on selling techniques. They usually can't list your house and work with you down the road. Their advertising limits and willingness to list in an MLS may be handicaps to sales assistance. Finally, they will not be in an office that is raking in new listings and will therefore be a little behind the curve in getting the latest market condition updates. They usually get called in AFTER a contract of sale has been made.
Appraisers are good people but I think that they just are not the source for selling advice. After they do their evaluation, they want to move on to the next one. They simply don't make enough on an evaluation to spend a lot of time with you.
BUT--- you want or need to sell your house. It's a great time to move up, in my opinion. While your lower priced home has fallen somewhat in value, a more expensive home will have fallen too and on a bigger dollar base, that means the exchange would be in your favor. It might even be better because homes in the upper bracket may be subject to more pressure. (Job shifts of a positive nature demanding relocation, for example. Thatâ€™s not going to be an issue in most lower priced homes.)
So, all that is fine but I haven't answered your question, now have I? Well here's how I'd do it. Your must start with a wider net of comps. Area, price and time all should be included. That will give you some hooks upon which you hat might hung. These "hooks" will require some interpretation. Lousy neighborhood, distress sale, lots of improvements, an extra bedroom, a finished basement, lower taxes, a boat slip at the shore, etc. etc. will all be "adjustment" factors. Even the builder's name might make a difference.
All of these things will count but how much? Nobody really knows, so you'll have to guess a bit and come up with a "normally expected" price. It's the best you can do. It's more art than science, simply because you buyer population is not large enough to be statistically significant and taste will enter into any decision.
The thing that is MOST important, in my opinion, is to find a Realtor who will market the property WITH you. You can see what transpires from day to day, from week to week and determine what actions and what prices seem to be working. Don't "chase the market" down, by changing your price lower but still well over the average price for your bracket in the newly discovered lower averages.
You can also do the "bright penny" trick of making you house more attractive than others. New paint jobs, a clean up of the accumulation of the clutter of just "living there" will help. Look at the appliances. Replace dated ones. Your home have a basement or garage? Clean it out and repaint it. These are all "window dressing" that is really just an advertising expense rather than real value improvement but they may actually pay for themselves. You can't do a strict accounting but there you are.
I hope this is helpful.
Keller Williams Atlantic
I know how you feel about comps in Tuckerton Beach, there are not any recent comparables. I agree with the previous answers. Mike Dydik is a local appraisor, I have been working with him for 22+ years and he is very professional. Give Mike a call at (609) 296-5784..Good luck!