A peek inside a buyer’s head
Over and over again, we have to remind our sellers that the buyers coming through their homes are indifferent to what you need and want to get for your home.
Here are just a few things buyers don’t care about:
Buyers don’t care about the emotional and financial investment you have in the property: This includes what you spent fixing it up, how much you have borrowed against it and the many happy years you have spent there.
They don’t care what you need out of it to cover your closing costs.
They don’t care what your last appraisal says it’s worth.
They don’t care what you think the house across the street sold for
They don’t care what your tax bill says it’s worth
They don’t care what you have it insured for
They don’t care how expensive the homes are in the community or neighborhood you are moving to.
Here is what buyers do care about when deciding what to offer for your home:
They care about the recorded selling prices for your nearest ‘comps.’ If they see a declining market, they are likely to offer a price lower than your most recent ‘comp.’
They care about your home’s condition. If your place is squeaky clean, they’ll pay more. If it’s not, they’ll factor every inch of work, cosmetic and otherwise, into their offering price.
They care about the kind of loan they can get. Buyers today number crunch today like never before. Affordability is key. Higher rates or a larger downpayment will result in a lower purchase price.
They care about where they see the economy going. As a group, buyers are naturally risk-averse. In a difficult economy, they are even more cautious and want to know they’re getting a good deal.
For more advice on dealing with buyers or on any aspect of the real estate market, call me at (415) 577-0809 or email me at email@example.com.