We have seen many shifts in the marketplace nationally in recent years. Hawaii, and Kauai in particular, are no exceptions.
Pricing your home correctly is critical in today’s market
When it comes time to say, “I’m selling my house; what’s it worth?” it may be difficult to differentiate between the price we anticipate we might sell our home for, and the actual value of our home. Value relates to what something is really worth. This is what one could expect to receive in money in the free market.
It doesn’t matter what the value was last year, or even last month, value is determined by the conditions and influences of the marketplace—supply and demand. Sometimes, it is all too easy for sellers to get hung up on this fact when the marketplace shifts in a downward trend.
According to Zillow, the average home price on Kauai in January 2009 was $451,000. In January of 2011, it was $367,000. Sometimes, we do not want to view the reality that our home was worth $451,000 a couple of years ago and today, based on supply and demand, is only worth $367,000. This is not an easy pill to swallow for any of us. (Numbers above are averages).
After working so hard to acquire your home, all the personal touches you added to it, not to mention all the memories of holidays and maybe even your little one’s first steps, it’s so easy to find it difficult to sever ties with your home. So, if you are selling your house, or are planning on selling it, coming to terms with the value of your property will help you go through the selling process without becoming too clouded by emotion. (This is not always easy to do).
If you are selling not because you want to, but because you have to, possibly a job transfer or financial hardship, then the process can be even more emotional. One needs to prepare themselves for this fact.
A good real estate agent will be kind and gentle through this process, but your agent also has a responsibility to you to get your home sold. You picked this agent because you feel he/she is the right person for the job. So, listen to him/her if they make suggestions about removing personal items and clearing out rooms. This may seem like a sad day, but if you think about it as a new beginning, then maybe you will begin to see light at the end of the tunnel.
Keep in mind, that homebuyers make their buying decisions based on value. So, seeing the current value of your home and pricing it accordingly will make the process of selling your home a productive one. So, if someone asks you the value of your home, tell them “to me, it’s priceless.” If they are bringing you an offer, tell them “fair market value.”
Contact me for information regarding Kauai real estate.