Darla Jensen

Definition of Market Value

Here's the definition of market value used by the International Association of Assessing Officers (IAAO).

Market value is the major focus of most real property appraisal assignments. Both economic and legal definitions of market value have been developed and refined. A current economic definition agreed upon by agencies that regulate federal financial institutions in the United States of America is:

The most probable price (in terms of money) which a property should bring in a competitive and open market under all conditions requisite to a fair sale, the buyer and seller each acting prudently and knowledgeably, and assuming the price is not affected by undue stimulus. Implicit in this definition is the consummation of a sale as of a specified date and the passing of title from seller to buyer under conditions whereby:

The buyer and seller are typically motivated;

Both parties are well informed or well advised, and acting in what they consider their best interests;

A reasonable time is allowed for exposure in the open market;

Payment is made in terms of cash in United States dollars or in terms of financial arrangements comparable thereto;

The price represents the normal consideration for the property sold unaffected by special or creative financing or sales concessions granted by anyone associated with the sale.

Above is the IAAO's definition of market value. Do you educate your Buyers and Sellers of your area's true market value? In my opinion, the media has played a significant role in Sellers pricing their homes too high, and Buyers choosing to make low-ball offers (and missing the window of opportunity). Professional Real Estate Agents must educate Buyers and Sellers on the true market value in their local area. Buyers and Sellers are counting on us to be the expert in pricing, whether they are buying or selling.

There is no concrete slab; the wooden floor was built directly on the top of sand ground. The foundation is wood also.

The home was built in 2000 and apparently codes have changed since then. There has been discussion with regard to wood foundations as well. I'm wondering if you have any thoughts or experience with this.

Go paperless!

I was going to take a picture of my piles of files to make a point, but chose not to embarrass myself. I'm contemplating going paperless, having everything scanned, and chucking the paper. Why is it so hard to let go of these files?

It's pretty easy to spot the hunters today in their blaze orange. We have an unusual amount of deer for the hunters this year; I would imagine most will have a successful hunt.

I just had to laugh to myself at the visual of all of us Realtors out and about every day on the hunt for Buyers and Sellers, wearing Blaze Orange. Then the public would understand that we really don't just sit around with a pen in hand writing contracts all day.

SOLDS come up on the MLS Daily. Savvy BUYERS ARE BUYING!

If your Buyers are not buying right now, you might want to look in the mirror and level with yourself. Are you asking your buyers the right questions, and listening to what they are saying; do you really know every one of your buyers' needs? Of course, there are dreamers out there too. I'm just talking about real solid Buyers that are either going to buy from you, or somebody else ... soon.

Don't give up on your Buyers because they haven't found the "right one". Ask more questions, because chances are the perfect fit for them is just a click away.