About Stafford County, VA

Successfully selling homes isn't rocket science. Or, is it?

Does a home sell itself, or is smart marketing the key? Or, is it a little of both?

While most of us realize that targeted marketing is a sound sales strategy, it is tough to sell a lemon in any market. But most would agree, rarely is a buyer willing to pay more than an item is worth, unless of course, there's more to the item than meets the eye. But, that is seldom, if ever the case. Wouldn't you agree?

Attempting to accurately price homes requires consideration of various factors including:

1. Home Inventory

2. Current Market Conditions

3. Recent Comparable Property Sales

4. Condition of the Property

As many who provide valuations of property will tell you, any good Comparative Market Analysis (CMA) will provide a property owner with an accurate price window for his/her property. If we're comparing like properties, it is hard to go wrong with a CMA. But, if you're expecting an apple to be the same as an orange, you could be in trouble! So, where do those inflated listing prices come from? The owner? Yes, at times. But, unfortunately, often, the blame lies with the Realtor.

An article in a recent Business Week reviewed William Poundstone's new book, Priceless: The Myth of Fair Value (and How to Take Advantage of It). In it, Poundstone examines both the psychology of buyers and sellers, and the logic used when placing a value on a product or service. The author argues that pricing is anything but an exact science. In his words, "In the new psychology of price, values are slippery and contingent...." According to the article, many "clueless" consumers are vulnerable to the marketing or sales practice of anchoring. Anchoring, in its purest form, is the act of using of a high priced item that may never sell, in order to make a lesser priced similar item much more attractive. Often, the same manufacturer may sell two like products, one tagged with a designer name and price, the other, a "great deal" at almost half price. The "cheap" one sells like gangbusters!

Since it's hard to ask twice as much for a similar home, overpricing occurs far too frequently. The good news is, that high price tag makes all the rest of the homes look lots better! The bad news is, the anchor model is probably going nowhere.

While pricing or valuing a home isn't quite as easy as 1-2-3, accuracy is a result of using the proper comparable properties when determining the listing price of a home. But, if instead, you believe your property to be priceless, and list it accordingly, don't be disappointed if you find the price you're offered is only what the educated buyer thinks it is worth.

To Continue Reading this Article, Click Here: How Did You Determine That Listing Price?

Yeah! JEL TILE finished the job today! It looks great! I need to paint, install the lights, put up mirrors, and well... the rest of it. But the hard work is done. Thanks again to John and Lori at JEL TILE!

I know everyone has been waiting for an update! So here it.... The tiles are going in beautifully! The contractor, JELTile on Garrisonville Road in Stafford, VA is really attentive to detail and takes the steps needed to 'get it right'. I am very pleased with their work so far.

As you know from reading earlier blogs, this bathroom remodel was not elective, but requisite! On the plus, if we were considering selling the house, a bathroom remodel is a great investment and one where the homeowner may see a return on investment for the project. Bankrate says almost 85% of the value can be recovered while the COST vs VALUE report from National Association of Realtors (Realtor.org) says about 75% of costs are recouped.

Regardless, I am loving the results and it will be worth every penny to me.

Recently, I came across an article on AOL's Real Estate page highlighting an article in the blog DailyKos. For those not familiar with the ‘Kos, it is devoted mainly to political and social commentary, along liberal lines. In the article AOL cited, the ‘Kos urged those homeowners struggling with their mortgage to, walk away from their unpaid mortgages. In their words:

"The real risk to the banks and investors is that the people in those homes might just decide to walk away. And that's what we must do. Doesn't have to be everybody, of course; but anyone who finds themselves seriously underwater with no hope of ever recouping their investment....just walk away Renee. Morality has nothing to do with it. You are a cog in the wheel of a machine that is killing this country and if you remain a cog you enable it. Remove your cog and the machine will not keep running. Remove millions of cogs and the machine gets replaced."

In other words, the Kos is advocating mortgage debt anarchy; a revolution of sorts. It then cites Realtors from across the U.S. who seemingly justify the action. Why? In the words of one agent, since the economic and housing recovery is projected to take perhaps as long as a decade, "Isn't it better to just cut the losses up front"?

According to a recent report by First American CoreLogic, nearly one in four are underwater or upside down with their home mortgage. In other words, they owe more for the property than it is worth. According to the N.Y. Times, the housing collapse left 10.7 million families owing more than their homes are worth. Is that a problem? Of course it is. Will walking away from a mortgage solve that problem? Not hardly. Have the Administration's loan modification measures worked as fast or as well as hoped? No, they haven't. Nonetheless, the programs were enacted for the affected homeowners to use. I have yet to hear of a homeowner not being able to remain in their home as they attempt to modify their payments.

How about you? If you know of a friend, relative, or client that has been forced out of their property despite the fact they've continued to make a payment, or partial payment, please let me know.

Is walking away from a mortgage debt justified? While its track record isn't perfect, the short sale is getting its act together. Perhaps, for both the lender and the those upside down, it is a better alternative than burning the mortgage.

To Continue Reading this Article, Click Here: Burn Your Mortgage?

Stage one is compete. The old cracked tiles have been removed and the shower has been gutted.

We added insulation for sound dampening to the shower walls and the plumber comes this afternoon to install the new 'guts' - shower diverter, etc.

The plumbing fixtures have been the biggest challenge. This home isn't old. 1992 seems like a new house to me compared to my previous Norfolk home, built in 1912. But sure enough, the 'guts' of the shower and the tub are so old that no new fixtures, even ones of the same brand, do not fit. Anyway, after numerous online attempts and trips to home stores in the area, I finally understood that all new plumbing was required.

John from JELTile (a tile store in Stafford VA) is here today to start laying the floor and next week they will finish up the shower walls, tub surround and the vanity goes back in.