We’ve been talking about really drilling down and understanding pricing in this market from the perspective of a seller, but really to understand from the perspective of a seller, you’ve got to start looking at what the buyers are seeing and trying to understand and anticipate their needs and wants.
Featuring:
Bob Nelson, Eugene real estate investment broker
Marcia Edwards, Eugene residential real estate broker
Bob Nelson: This is just simply the situation. The seller sets the asking price, the buyer sets value, and I don’t know how to say it other than that.
Marcia Edwards: Well, that means that we’ve got to be very attentive because historically the trends have shown some beautiful appreciation, 7 to 8% in this area for single family residential last year. So you’ve got something that’s been a healthy trot upward. So, if you priced it wrong out of the gate, you could be in the market a little bit longer, but that price could’ve caught up with you in the time you were on the market. So, it was kind of foolproof, truly foolproof. Now the fool will still be left standing at their home on the market possibly.
Bob Nelson: And guess what? Guess what yesterday was? April Fools’ Day and you’re one of them. If you priced a property properly, you price it properly within the array of assets that are identical and benefits that you’re offering, you’re going to get attention, and that’s what you’re exactly after, attention.
Marcia Edwards: Now, I recognize that cars and houses are different. You can’t Blue Book it with the amenities listed and pin it down in such a scientific way, but you’ve got to listen to the counsel you have and look at the research-based information. I know you’ve got benefits that you’ve seen that have just been… Say the bus stop is right out in front of your house. Well, maybe that’s because you’re on a very, very busy street. All you see is a bus stop and “I should get more because of the convenience to mass transit.” I see that the majority of people may not walk in till you get to the right price because of the busy street, for example.
Bob Nelson: And that’s an interesting situation. Now, from my side of the world, if it’s an income property, having that exposure could be beneficial. You’re in front of all kinds of tenants that would rent the place. So there are some dichotomies of type of asset, and depending on how you’re going to own that property it does make a difference.
Marcia Edwards: I’d really turn the heat up on your realtor because they’ve got to give you some evidence-based reasons for the decisions they’ve made in regards to their counsel. So if you just ask a realtor and they just kind of throw out a number without a basis behind it, you need to dig deeper and make sure you understand why. You’ve got to have the convictions as a seller to move if the right buyer shows up.
Join Eugene, Oregon, real estate experts: Bob Nelson, Real Estate Investment Broker with Pacwest Real Estate Investments, and Marcia Edwards, Residential Real Estate Broker with Windermere Real Estate, daily at 5:30 on KPNW for the “Real Estate Today” radio show.
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