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Published at Sunday, February 17th, 2019 - 06:08:04 AM. House. By .

How To Price A House When Selling A House By Owner :If youre thinking about selling a house by owner, otherwise known as for sale by owner (or FSBO), one of the primary factors that will determine your success is how to price a house. Setting your price too low, will get your house sold quickly but will transfer wealth (in the form of equity) from you, the seller, to your buyer. Set your price too high and you will have too few prospects looking at your home and even fewer offers. Set the price way too high, and many buyers may feel that as the owner, youre set on your price and will be difficult to work with. As a result, they may decide its just better to not even bother with your house. So, if your goal as a seller is to capture as much equity as possible by getting as high a price as possible for your home, then you need to understand the factors that buyers will take into account when determining what is a fair value for your home. There is a normal tendency by homeowners to overestimate the value of their house because its very hard to be impartial to the house. Lets face it, as a homeowner, weve lived in it for many years, made improvements to the house, invested our hard-earned money in it to make it better and more comfortable, and now we feel that its a great home to live in and anyone looking to buy it should see that. And because homeowners have such a stake in the outcome of the sale, its sometimes hard to accept some cold hard truths. The most difficult concept for homeowners to understand when considering how to price a house is the concept of Supply and Demand. When there is high demand for a product, and not a lot of supply, the product is scarce and so people are willing to pay MORE for the product. Because theyre willing to pay more, the product is worth more. When the demand for a product is low, and there is a large quantity of the product up for sale, the price people are willing to pay will be much lower because they can easily get their hands on the product of their desire. The same concept applies to your house. When the number of buyers looking for houses is greater than the number of houses available for sale (or the supply of houses for sale), the demand is greater than the supply and homeowners will be able to get a higher price for their house. When there are more houses for sale than there are buyers, the supply exceeds the demand, so prices will be forced lower. A good way to measure supply and demand of housing in your area is to ask a local realtor about the absorption rate for your area. The absorption rate is a measure of the local areas ability to absorb the supply of houses on the market and is calculated by dividing the number of houses on the market for six months and dividing it by the number of houses that sold during the same period. For example, if there were 1200 homes for sale over the course of a year, and 100 homes sold every month, it will take 12 months to sell all of the homes currently for sale. If the absorption rate indicates that it will take 6 months or less to sell the available supply of houses on the market, the demand is said to be greater than the supply, and it is termed a Sellers Market. Conversely, if absorption rate indicates that it will take more than 6 month to sell all of the houses on the market, then the supply of housing is greater than the demand, and a Buyers Market will be in place. A Buyers Market leads results in homeowners having to accept lower prices for their homes in order to sell them. The second most important factor that buyers consider when looking for a houses is what value they will be getting for the price of YOUR house compared to the value they would get if they bought someone elses house at a similar price. As an example, consider the following question; would you pay $75,000 for a car thats designed and built for just basic transportation - low horsepower, manual features, and a minimalistic interior? The most likely answer is probably not because you can get a luxury brand automobile for that same price, giving you better styling, more horsepower, more room, a more comfortable leather interior, better stereo, and just about better everything (with the possible exception of miles per gallon of gasoline). Similarly, when thinking about how to price a house, you also need to consider the other houses that your house is competing with. These competing properties are called comparable properties, or in realtor terms, Comps. There are two types of Comps - Active Comps, and Sold Comps. Active Comps are other houses that are similar to yours in terms of bedrooms, bathrooms, square footage, style, condition and neighborhood and are also on the market looking for buyers. Active Comps give you a very good idea of what prices other homeowners are asking for. Sold Comps, on the other hand, are other houses that are similar to yours in terms of bedrooms, bathrooms, square footage, style, condition and neighborhood that have sold within the past 3, 6 or 12 months. Its important to look at sold comps because they will tell you what buyers were actually willing to pay for a house that is similar to yours. Look at how the other active comps are being priced. Are their prices similar to the houses that sold, over-priced, or under-priced? When looking at your Active Comps to determine whether they are priced correctly, you will want to look at Days on Market, or DOM. Days on market will show you how long it took for houses listed at a certain price to sell, or how long houses currently listed for sale have been on the market and have not yet sold. A general rule is that a house should sell within 90 days of it being listed. If it takes longer than that, its generally an indication that it may be priced on the upper end of the price scale. In summary, when trying to decide how to price a house because you are selling a house by owner, you will want to have a good understanding of the local supply and demand for houses in your area. This information will tell you whether you have to price aggressively to sell your house, or if you might be getting multiple offers on your property. Next you will want to compare your house to other houses that are similar to yours and have sold recently, and similar houses that are currently listed for sale. Compare the prices of houses currently listed for sale (active comps) with the prices of those houses that actually sold (sold comps) within the past few months, and determine what buyers would be willing to pay you for your house.

What Is Special About The Houses In Lauro De Freitas? Lauro de Freitas, which is situated in the region known as the Coconut Coast in Bahia is one of the largest creators of jobs in the country. The town that is located 15 km to the northeast of Salvador is a center of economic activity and growth in the region. Houses in Lauro de Freitas offer attractive investment options for those who wish to live here and work in the nearby areas. Although Lauro de Freitas is more of an urban locality, it is not far from nice beaches. Three excellent beaches, Ipitanga, Vilas do Atlantico and Buraquinho are nearby. Living in Lauro de Freitas offers the best of urban conveniences while not being too far away from the peace and quiet of nature. Houses in Lauro de Freitas are good investment options whether you are buying for capital appreciation, rental income or for your own personal use. An Overview Of Houses In Lauro de Freitas Like most urban areas, houses in Lauro de Freitas are usually well planned units in nice condos or gated communities. Typical plot sizes vary between 100 to 500 sq. meters, although houses in plots of 1000 sq. meters or more are also available. You will get farmhouses where the land could be several thousand square meters in area. Most houses have more than one floor and the construction is modern with excellent finish. Many houses have porcelain or similar high quality flooring. Swimming pools very often have fancy features like LED lighting and whirlpools. Most houses are new and you will also find some which are still under construction. A two floor house in a gated community could cost anywhere between $ 85,000 to $ 450,000 depending upon the location, size and facilities provided. Houses on bigger plots or those with a lot of facilities will usually be priced above $ 500,000. On an average, the price of a house in Lauro de Freitas will be around $ 324,700. The prices of farmhouses depends on the location, size of land and the size and quality of construction. Compact Houses Priced Below $200,000 The bottom of the range offers compact houses in the localities of Abrantes, Ipitanga and Buraquinho. Prices start from as low as $ 85,000. In this price range you can expect houses which have 75 to 130 sq. meters built up area constructed on plots of up to 200 sq. meters. You are likely to find houses with two bedrooms, usually at least one of them is a suite. You may find houses with up to three suites depending upon the price. A pool and garden may be available as part of the common facilities in some condos. Most houses on offer have an open parking for one or two cars and at the higher end of the range you may have other facilities like a service area. Comfortable Houses Priced Between $200,000 And $350,000 Most of the houses in this range are in localities of Villas do Atlantico, Alphaville or in Lauro de Freitas town. The built up area will range between 180 and 570 sq. meters on plots of 200 to 500 sq. meters in Vilas do Atlantico. These houses are usually not too far away from the beach. In Alphaville you are likely to find houses constructed on larger plots of 300 to 800 sq. meters. Houses irrespective of the locality are located in areas where you dont have to go far for day to day needs. You will find shopping facilities, schools, hospitals and malls close by. In this range you can expect houses with at least four bedrooms and at least one suite, although there are houses offering up to six bedrooms or three suites. Some of the larger houses have a pool and garden. Multiple car parking is usually available and you can expect additional features like service areas, round the clock security, family room, party area, play area, barbecue and water storage facilities. Buy A House In A Nice Condo From $350,000 To $400,000 With this type of budget you will find houses in nice condos in Alphaville or in-town locations in Lauro de Freitas. Houses are quite large with 240 to 400 sq. meters construction on plots of 400 to 500 sq. meters. A typical house will have four bedrooms with more than one suite. In addition to the facilities mentioned in lower price ranges, expect a well-designed fancy swimming pool and some additional facilities like solar water heating and employee quarters. The condos usually have good quality common facilities like play areas, well designed or landscaped gardens, clubs and tennis courts. Premium Houses In Lauro de Freitas In The $400,000 To $600,000 Range In this price range, you can find houses in upmarket locations in Lauro de Freitas or Busca Vida in nice gated communities. Plot size could range anywhere from 300 to 1000 sq. meters and built up area of 300 to 400 sq. meters can be expected. Most houses have three to four suites, basic fittings, pool, garden and space to park multiple cars. You can expect the design and construction quality to be among the best in the region. If you are looking to buy a house near Salvador, then you must take a look at the houses in Lauro de Freitas and nearby areas. The wide variety of houses on offer increases your chance of getting a suitable house that meets your requirements and budget irrespective of the purpose that you are buying it for.



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