Pricing Your Home on the Big Island.
The most common way to price your home on the Big Island to sell is by determining its Fair Market Value. Begin by studying the prices of competitive properties (similar size, quality and location) and then honestly evaluate your home’s strengths and weaknesses in the marketplace.
The most common way to price your home to sell is by determining its Fair Market Value. Begin by studying the prices of competitive properties (similar size, quality and location) and then honestly evaluate your home’s strengths and weaknesses in the marketplace.
To assist you with the pricing decision, you should consider the following:
Property Features & Condition
What are the key selling points of your home? Size, age and style; size and shape of yard; landscaping and features of lot; number of rooms; kitchen; fireplaces (high elevations); quality of construction and amenities; condition of interior and exterior paint, yard, décor, plumbing, cooling and electrical systems, mauka/makai breezes, or laid out end to end with no mauka makai airflow. BIG difference in desirability. Some areas are notorious for being “hot”, to other areas (600 foot + elevation) known to be much cooler. Get too high (1200’+) and you are either downright COLD or have a lot of rain, which mean you’ve got mold! There are some residential areas right in Kona that are known for their mold. May on the south and East sides of the Island. Not common up North.
Desirability of Location
Town, area and neighborhood; schools; safety (we are pretty safe here) access to public transportation (Hele-on), shopping, (what shopping) and parks; etc. A HUGE variable in Hawaii is Views. They term “Million Dollar Ocean Views” for a reason. A house without an ocean view is going to garner 25-50% less than a home with a stellar ocean view. If it a “peek a boo” view, a partial ocean view, a water view or a full on 180+ degree coastline view.
How motivated are you to sell your home? Local, state and national economy; current real estate market; available financing and mortgage rates all play into the picture however, It ALWAYS boils down to motivation.
Our experience and commitment to open communication allows us to be objective in assisting you in pricing your home to sell. We will tell you the truth whether you want to hear it or not. We would rather have you fire us at the beginning than lead you to believe you can get more for your home than the market prevails, then try to get you to reduce, reduce, reduce. Then you are chasing the market down meaning you property is right in the pack with the other homes who have also been reducing reducing reducing. Your property never has a chance to stand out, then it gets “aged: or DOM (days on the market). At this point you don’t like us much and we don’t want to answer the phone when you call either. Not a good way to have and professional relationship.
For homes currently on the market, establish how many are comparable homes, how many days they’ve been on the market and how they’re priced. Then ask the same questions for homes recently sold as well as those previously listed which did not sell. Price per square foot does not always tell the tale you might think it does either. WE would rather tell you the truth in advance and not try to get a listing because we promise the highest price. Phooey!
Value all improvements, using current construction techniques, labor, and material costs. To use this approach, deduct accrued depreciation from the replacement cost of the improvements in order to arrive at the depreciated replacement cost. Then add the value of the land to this value.
Income Value Approach
This is the primary method used to determine the value of income-producing properties such as apartments, commercial and industrial buildings given that, “value is the present worth of future rights to income or utility.” Since most single-family residences are owner-occupied, this is not generally germane.
CALL TODAY US FOR YOUR FREE NO OBLIGATION ASSESSMENT OF THE REALISTIC MARKET VALUE OF YOUR HOME! THE ZILLOWS’ AND TRULIA GIVE YOU A RANGE, YOUR ASSESSED VALUE MEANS LITTLE. LET US PROVIDE A TRUE-MARKET EVALUATION. WHAT DO YOU HAVE TO LOOSE?