Warren County Ohio Real Estate News and Observations

What Influences A Home's Selling Price?

When we're working with buyers and sellers one of the most critical parts of our job is understanding home values.  Getting it right for a home seller determines if they sell or don't sell.  For a buyer it's the difference between getting a bargain, overpaying, or just paying the going rate for a community.

So what influences a home's value?

We'd love to say it's as simple as plugging in a couple of numbers such as square footage, lot size, age of home, number of bedrooms, baths and garage spaces and out would come a number that would be accurate.  But it's not nearly that easy, otherwise the online home value estimates wouldn't need disclaimers of being within +/- 10% or 20%, which when you think about a $300,000 home, that's a range of $270,000-330,000 with the 10% margin of error.  That's quite the range isn't it??

But it's not really as simple as a few variables churning out a solid number and then the market adhering to that number.  Nope, there are MANY factors that figure into a home's value, and some of it is more art than science and math.

Admittedly a homes size and key features are the major drivers to a home's value.  A home that's 1300 square feet is going to need some really special circumstances to outprice a home that's 3900 sq ft.  But when you're dealing with homes approximately the same size and features, you can still get some significant variation.  Why is this so?

Housing availability at the time.  If four similar homes are for sale, there's not a driver to push a home price up.  If on the otherhand there's only ONE home for sale, supply and demand kicks in, especially if the home is in a high demand location. 

How badly a buyer wants a home.  There are times a buyer just has to have a home.  Come hell or high water, they're getting THAT home, and if they're a cash buyer normal limits may go POOF. 

Environment and home location.  A home next to a major road is going to have a different demand than a home backing up to a wooded greenspace in a quiet cul de sac.

Prestige.  Some subdivisions have a certain cachet that buyers want.  So the smallest home in that community might sell for more than the largest home in another community.  It's the "Cheers" effect, some buyers want everyone to know the name of the place they live.

And this is just scratching the surface on factors that can influence a home's price.  There are enough variables that an experienced agent is needed to interpret the situation.

 

Ready to talk Cincinnati real estate?  Call Bill of The Liz Spear Team of RE/MAX Elite at 513-520-5305 or email Liz@LizSpear.com.

Serving Cincinnati area home buyers and sellers,

Liz and Bill aka BLiz

 

Serving Warren County Ohio & Adjacent Areas


The Liz Spear Team of RE/MAX Elite
Elizabeth Spear, ABR, CRS, Ohio License SAL.2002007747

William (Bill) Spear, CRS, Ohio License SAL.2004011109  Kentucky 77938
Ask for us by name if you visit the office!

EHO Two locations: Lebanon & Mason, OH
Bill Direct:  513-520-5305
Liz Direct: 513-265-3004     
Fax: 866-302-8418

MailTo:  Liz@LizSpear.com

Search Homes:  Http://WarrenCountyOhioRealEstate.com

Our Website:  www.LizTour.com

 FacebooktwitterWordpressYouTube Pinterest

 

 

 

 

 

 

OUR SERVICE AREA:


View Liz Spear Team of RE/MAX Elite Primary Service Area in a larger map

Comment balloon 3 commentsLiz and Bill Spear • September 01 2017 01:12AM
What Influences A Home's Selling Price?
share
When we're working with buyers and sellers one of the most critical parts of our job is understanding home values. Getting it right for a home seller determines if they sell or don't sell. For a buyer it's the difference between getting a bargain… more
Need A Cincinnati Rental? Our MLS Might Not Help You Much
share
Periodically we get contacted by someone looking for a rental. Perhaps it's a patio home they're looking for, or maybe a condo or a regular home. And we do have the capability to search for rentals on our Cincinnati MLS homes for sale search… more
Overpriced, Underpriced or Just Right??
share
Pricing a home for sale is a bit science, a bit art. If it was pure science those online valuation sites would be a lot nearer to the truth with their estimates, but instead it's not uncommon for those automated valuations to off by tens of… more
The Cap
share
Once upon a time there was a warship that sailed the oceans blue and I was fortunate enough to be part of that crew for a couple of years. That ballcap above has been part of my life since 1989. The two years that I served on the Taylor I was the… more
I Can't Interfere In Your Agent's Business
share
Every now and then we get asked questions we can't answer, and it's not necessarily because we don't know the answer, but because we can't get involved in another agent's business with you. Basically if you've hired an agent to help you sell your… more
Twenty Mile Green Condo Community Deerfield Township OH 45140
share
Twenty Mile Green is a newer condo community that most people probably don't even realize exists! It's a smaller community tucked away behind some commercial buildings fronting Montgomery Rd. Just a little south of the Montgomery Rd/Columbia Rd… more
Customers Find The Service They Need
share
We've been in the midst of a major remodel of our own home for about 5 weeks. Of course the planning for it started long before that, and like most remodels there have been some changes in plans along the way. Included in our remodel was removing… more
It Pays To Ask For Help
share
I was raised to be self-sufficient. Work hard. Learn. Do. Work some more. It's served me well… except when it hasn't. Tonight we had family coming in to visit and Liz and her sister made plans to use our firepit to roast some hot dogs and… more
Pins & Needles
share
It can be tough to be a home seller or buyer. Unless the market is screaming hot, chances are the sellers are going to spend some time waiting and wondering "When is MY buyer going to show up?? ". Even priced right, marketed right, it… more
Discounted Luxury Cincinnati Patio Homes For Sale!
share
It's not often you can get a HUGE price break on a Cincinnati new construction patio home, but Brookstone Homes Parkland Meadows community in Symmes Township is on sale right now!!!! Why the big price break? When a builder is ready to finish up a… more