Neighborhood Considerations

Neighborhood Considerations for the Seller

An old real estate maxim says that three criteria determine market value: Location, location and location. The same boards and brick may be used to build two houses, yet one house will bring a price thousands of dollars higher than the other - simply because of its location.

The concept of neighborhood is not as precise as a county or city. Some people consider the boundaries to be the district around an elementary school. Others consider it to be walking distance, which is more or less within a half-mile radius. Wherever you draw the line, a neighborhood is the immediate area around your home.

Obviously location is important to the buyer. But it's also important to you as a seller. That'`s because your neighborhood has a lot to do with how fast your home will sell - and how much you'll get for it. Selling a home located in a desirable neighborhood will net you a much higher price than selling one in a less-than-optimal one. If your home is located in a "hot" neighborhood, that may increase your chances for a sale. You're likely to have more prospective buyers interested in your home, simply because of its location.

A desirable neighborhood usually exhibits these characteristics:

• High or increasing property values
• Reasonable commute and close proximity to employers, schools, hospitals, shopping and public facilities, like parks and community centers.
• Low crime rate.
• Well-planned traffic infrastructure.
• Well-maintained properties.
• Higher percentage of owner-occupants.
• Well-regarded school district

If your neighborhood is stagnant or in a popularity decline, take heart. There's probably a buyer out there who is a perfect match for what your home has to offer. Be sure to maximize your home's appeal and keep in mind that you may have to compromise a bit on your asking price.

That's where Steve can help. He can determine fair market value based on a Comparative Market Analysis (CMA) of the homes in your neighborhood.