Things for Buyers to Consider when Determining the Appropriate Property Value and Offer Price

Determining the value of home can be sometimes a difficult task for a buyer. Just as there are many factors that can impact a home’s value, the details and potential success of your offer also rely on several pieces of information. If you are thinking about buying a home, you may want to consider the following tips to gain a better understanding of property values. By utilizing these recommendations and discussing the findings with your agent, you might be able to not only find the best house for your money, but also a home that surpasses all of your expectations.

1. Investigate Locally
When searching for a new home, many prospective homebuyers start by checking local listings. After the search is narrowed down to a few neighborhoods of interest, walking or driving through these areas can give you a better idea of overall neighborhood quality. As you narrow your search, it might help to attend a few open houses in the local market to gain an understanding of pricing trends and witness how much interest is being paid to the homes already for sale.
In the early stages of shopping for a home, it can also be helpful to have your agent perform a Comparative Market Analysis. This report will show you the past sales prices of homes in the area and allow you to contrast those statistics with the current homes for sale.

2. Get behind the numbers
After you have compared the list prices of the homes you are interested in with other homes that have sold in the area, there are a few assessments of value you may want to consider. The most telling estimate of a home’s value will be a professional inspection.
Another statistic that will provide you an estimated value of a home is the assessed tax value. However, as the assessed tax value sometimes doesn’t take into account the amenities of a home, upgrades to the property or the nuances of the housing market, this value can vary from a professional estimate. Work with your agent to compare the details of your appraisal and the assessed tax value, taking into account all of the home’s amenities and any issues of particular importance to your family – including such factors as the quality of the neighborhood, local schools and even how the home matches up to your long-term goals.

3. Think about the market
When trying to determine the value of a home for sale, it might also help to consider the status of the overall housing market. First, take into account national trends and determine whether it is a “buyer’s market” or a “seller’s market.” Next, compare the local housing market to the national trends, considering both the neighborhood of the home for sale and a broader geographical region incorporating the surrounding city or other nearby communities. It is quite possible that a particular area may not be affected by national market trends, creating for instance a small seller’s market within a broad buyer’s market, or vice versa.

4. Pay attention to the details
Besides looking at local and national housing trends, there are a few more issues that can affect the value of a home and the details of your offer. First, you and your agent should find out how long the home has been on the market. It is believed by many that if a home has been for sale more than 30 days, sellers are often more motivated to sell and are more receptive to lower-priced offers.
In addition to the time spent on the market, you and your agent should also try to find out if there are any additional factors that could motivate the seller for a quick sale. For instance, if the seller has already purchased another home or is relocating to another state, you may receive a better response to your offer sheet.

After taking all these factors into account, you and your agent should be able to determine both the market value of the home and the right amount to bid if making an offer. Furthermore, the more you take the information you’ve gathered into account, the better you will be able to prevent potentially overbidding – which, of course, costs the buyer more money – or underbidding – an error that could discourage a seller from further negotiations.

Lastly, try to remember that the process of ascribing value to a home is not an exact science. Each time a house is sold on the open market the sales price will represent careful negotiations between the buyer and seller, with all of the factors here taken into account by each party. Therefore, above all else, the right home should not only represent a good value when analyzing appraisals and various market factors, it should also be the best value for you and your family.




The staff at Coldwell Banker Real Estate LLC writes select articles about important topics related to real estate. For more information about buying a home or selling your current property, visit ColdwellBanker.com today.

Fernandina Beach in Southern Living Magazine

Fernandina Beach has been rated #1 Best Small Town Getaways by Southern Living magazine. This follows being mentioned as a Best Dream Town in Coastal Living. Southern Living called the island "postcard-perfect", "unpretentious and patient".

Author James T. Black starts the article by discussing Fernandina Beach's long history, saying it's one of the most fought after towns in the history, going back to 1565 when the Spanish threw out the French. "Fernandina Beach has learned to take what comes and take it easy".

The article highlights favorite areas on the island.

Favorite Inn: The Elizabeth Pointe Lodge, located about 1.5 miles from the historic harbor, guests can ride bikes, fly kits, or just watch the waves roll in.

Best place for dinner: Le Clos, Chef Katherine Ewing opened Le Clos in a small cottage near the Fernandina Harbor in 1997. Each item on the menu brings a taste of France to Fernandina. Miss Ewing has earned degrees in pastry and cuisine from Le Cordon Blue and trained at the Ritz in Paris


Scenic Spot: Fort Clinch State Park, about two miles north of downtown, the Civil War-era for today shares the park with whire-sand beaches, 6 miles of hiking and biking trails, and campgrounds.

Fernandina Beach in Coastal living Magazine

Coastal Living Magazine has recently chosen Fernandina Beach as "Best Little Beach Town".

The special 12-page section in the 2010 September Issue of Coastal Living features a list called "Dream Town, The Best Little Beach Towns" and Fernandina Beach has been as one of the top ten in the United States. Places also in the top ten beach towns list are Montauk, New York; Beaufor, North Carolina; Langley, Washington; and Encintias, Califorina.

There were several highlighted Fernandina Beach areas throughout the article. The author, David Hanson, cited the North Beach as the "best beach", he referred to the main beach as "touristy". Fort clinch was "a place to take the kid camping neat the beach five miles away."

It is no surprise Fernandina Beach has made this list. With its historic roots, the town provides a culture that is rarely found in cities today. Canopy roads, historic buildings, and pirate stories, can only be found here. Add all that to the beautiful beaches and you create a unique atmosphere.

This article also supplies Amelia Island's businesses with much needed free marketing. Coastal Living adds a credibility that you cannot get with other advertising. I suspect real estate agents and property managers should see a boost in calls over the next few months.