I have no idea how much my condo would sell for. I bought it in 2001, and over the past 14 years have put about $60,000 into it, gutting the kitchen and adding central air. I have also refinanced twice recently. About a year and a half ago my appraisal was less than what I paid more than a decade ago. Then, a few months ago at my last refi, the appraisal was about 60 percent higher. Right after my last refi, the unit above me, an almost exact replica of mine, sold for considerably more than my last appraisal. Not only that, my “Zestimate” is about midway between what my neighbor’s until sold for and what my last appraisal was.
How can I find out what the right price should be? Seek professional help, which is exactly what we did in this week’s issue. These are frenetic days when it comes to pricing homes. The market continues to heat up, inventory, interest rates and unemployment are low, and new technology allows consumers more insight than ever into the pricing process. Which is why it’s so important for agents to be savvy about their pricing strategies and to understand how to communicate with today’s more educated consumer. As you’ll discover, it’s all about knowing when the price is right, and knowing how to get your client to buy in.