Virtual Office

Selling a home in today's real estate market can be an enlightening experience for many sellers. Many recognize the changing landscape of real estate, but since his house is without doubt the "best in the area," short sales and forced sales are often viewed as irrelevant. This perception is especially true in areas where short sales and foreclosures are a high percentage of home sales in general.

In order to effectively compete with this trend, it is essential to understand how such transactions impact local real estate markets. Zillow.com recently published their findings in the percentage of home sales and implementation a mortgage "foreclosure discount" associated in different housing markets across the country. This research illustrates the fact that sales foreclosures actually create two different markets and buyers tend to demand a discount, in addition to physical damage often in these houses. All data from the third quarter of 2009:

Sales Forelosure – Metropolitan Area% Discount excluding all sales:

Pittsburgh, PA 59% 10%
Cincinnati, OH 39% 15%
Columbus, OH 38% 19%
Minneapolis-St. Paul MN 34% 26%
Phoenix, AZ 29% 58%
Denver, CO 27% 25%
Los Angeles, CA 27% 39%
Kansas City, MO 25% 29%
Riverside, CA 25% 66%
San Diego, CA 24% 39%
San Francisco, CA 24% 39%
Las Vegas, NV 23% 74%
Washington, DC 21% 21%
Sacramento, CA 19% 50%
Seattle WA 19% 17%
Portland, OR 18% 18%

Source: Zillow.com

Based on the results of their research Zillow reports a reduction "eviction" on average about 28%, which is an important factor for the sellers of other considerations. For example, in the state of real Denver market in which the blockade is reduced to 27% reported that the foreclosure sale of $ 146,000 on the street could suggest that even clean, well maintained, the house is not in trouble in the same area could control as much as $ 200,000. We can not do much to change the fact that such transactions affect several real estate markets across the country what we can do is recognize the problem and find a way to successfully market home sales in this environment. These are some common sense tips for sellers who want to compete against foreclosures and Short Sales:

• In the first place, the price of your home competitively. This does not necessarily mean that the foreclosure sale on the street is the best model for your home, but must be taken into account.

• Present home in perfect condition. The seizures and sales are likely to be relatively crude, people are losing their homes often neglect maintenance routine for a while before they lose the house. His house is clearly the brightness of competition in this field. This goes a long way to overcome exclusion "off."

• The rental of a property agent who is in competition in the market. Just put a sign in the yard and brochures in a box will not be cut. In order to distinguish and differentiate your home from the competition below normal, as foreclosures and short sales, marketing efforts should include a concentration intense line with the details of quality, ie, virtual tours, lots of good photos, lists, descriptions, etc. Make it clear to potential buyers that there is a difference quality.

• To provide incentives for children that highlight some of the benefits of your home offer. Foreclosures and short sales tend to represent increased risk to the buyer that these houses did not have the support may have been vacant and neglected for a long time, and may even be difficult to inspect thoroughly because public services are closed. It offers things like a home warranty, an inspection report of pre-sales, etc, can draw attention to the fact that your home is a better value because it is better quality and less risk.

· Make sure you can offer a relatively quick closure. Especially sales discovered, time may be a murderer to deal with many buyers. Pending a response from the bank – sometimes for months – is frustrating to many potential buyers making these types of sales a challenge. With the deadline looming federal tax credit, the schedule will become more of a question and an area where you can excel.

These are just some tips on how home sellers can effectively compete with foreclosures and short sales. The main objective should be the creation of the separation points of interest that are important to home buyers, and marketing of these differences in the most efficient. Understanding the effect of such transactions in the resale housing market in your area you can plan your marketing strategy home, and to overcome the discount "Foreclosure" feared!

Phil Boren is a 26-year veteran Broker and Realtor with RE/MAX of Boulder, the #1 RE/MAX office in the U.S. Take advantage of this powerful combination as you search for Colorado real estate here: http://www.BoulderHomeResource.com, and take advantage of the free Relocation Resources and videos we provide at http://www.BoulderHomeResource.com/Relocation.php.

Deb Sipfle Boulder Real Estate – 8654 Thunderhead Dr