Charlie Ragonesi Big Canoe Realestate's Blog

New News Article

 

The article below will appear in a newspaper in January in Big Canoe. I am hopeful that this is a regular piece. Each month we will do something to help either buyers or sells.. Any suggestions for future s will be greatly appreciated

 

 

 

Ask a Realtor

 

Are you and your home chasing the Market?

    By Charlie Ragonesi

 

One of the maxims in real estate is; houses priced correctly sell. In the listing presentation there is some times a tension between the Realtor and the home owner looking to sell. That tension often expresses itself in a difference of opinion over sales price. Sellers tend to forget that Realtors are usually paid a percentage of the sale and so do not want to leave anything on the table. Realtors often forget the sweat equity, the emotional, as well as financial ties, a home owner has in the home. The compromise is often reached with the words, “Let’s price it at X and we can always come down a bit later, or when we get an offer.” This strategy is called, Chasing the Market.

 

Chasing the Market is a bad strategy that will in the end cost the home owner money. A great study was done this (2009) year by Todd Emerson a Senior Vice President and Realtor. The study was done in the Atlanta market.  Todd looked at 115 single family home sales from January to April. 54 of those homes had price adjustments downward to reflect market conditions. These homes stayed on the market an average of 210 days. They also sold at an average of 81.3 percent of the original list price.

 

The homes that were not reduced sold at an average of 92.9 percent of the sales price. They also remained on the market for an average of only 129 days.

 

The conclusions Todd drew were that prices on homes that chased the market stayed on the market 3 months longer AND averaged 50,000 less at the closing. Todd did average all the prices and was comparing like priced homes.

 

Chasing a market is a bad and costly strategy. When working with your Realtor make sure you are given a Competitive Market Analysis. Remember the Realtor who prices your home the highest may make you feel good in the short term , but could cost you money later on .

 

Charlie Ragonesi is Managing Broker for All Mountain Realty. Along with Linda Carrig they can be heard every Thursday after the noon news on WYYZ Radio broadcasting the Mountain Real Estate Report in the North Georgia Mountains

 

4 comments • Charlie Ragonesi 706- 579-1098 • December 05 2009 09:54PM

Next time grab the camera!

Linda Carrig, who is an ActiveRain member, heard a big noise on her deck. She has a Boxer and a Great Dane and they were barking up a storm. She opened her back door and both flew outside. The source of their concern was a Bear on Linda's back deck pulling at a bird feeder.

Now Linda's back deck is a good 2 1/2 stories off the ground. The bear shimmied up a couple of deck posts and was outside the deck railing reaching for the feeder. The dogs went after the bear. The bear swiped at the dogs. Linda grabbed a chair and tried to get it in between the dogs and the bear. It must have been a great sight. In the end the Bear shimmied down the posts and all were OK. But it led us to tell Linda next time grab a camera and not a chair.

If you live in the mountains DO NOT LEAVE FOOD OUT or fill bird feeders. No matter how high up you think you are and how inaccessible you think the feeder is bears get to them. Think you can shield them , guess what, bears just knock them down. Aside from the obvious danger you do not want to allow bears to associate humans with food. The bears end up hurting some one and getting shot. That really is a tragedy.

Enjoy the mountains and respect the wild life. Hope you all had a great weekend.

2 comments • Charlie Ragonesi 706- 579-1098 • July 05 2009 04:57PM