KAMLOOPS REAL ESTATE
HOME BUYER'S GUIDE: PLAN YOUR HOUSE HUNT
Take a Step Back and Assess
Every home buyer's creed is "a home that meets my needs at the lowest possible price". Yet when a home buyer goes shopping, two types of homes compete for their dollar: a home that meets their needs or home that fulfills their desires. The goal is to find a home that meets both these criteria, but in the real world on a specific budget this rarely happens. Usually it's a compromise of needs against wants relative to price.
While it sounds deceptively simple, decide first what you want in a home before you shop. This is the time to take off the rose-tinted glasses and as much as possible and look at your needs as objectively as possible. To get started, make a list of things you absolutely need in your next home and a list of things you would love to have in your next home.
How Prices Are Set
Usually four common strategies are used to price a home. Understanding these techniques can help you get a better deal on your home:
Every seller wants to get the best price for their home. However, with multiple offers the battle may be won by inflating the price, anywhere from 10-20% of its true market value. Too high a price could leave the home on the market for months. If it doesn't sell, it could be considered a 'problematic property'. The price may have to be reduced to sell it.
Homes in this category also tend to sit longer on the market. The reasons: there may be room for negotiation in the price or the seller is emotionally attached to the home.
PRICED AT FAIR MARKET VALUE
These homes tend to sell within a reasonable amount of time, close to the asking price. Competitively priced, they represent a thorough analysis of other homes on the market.
PRICED BELOW FAIR MARKET VALUE
For various reasons (e.g. health, relocation, condition of the home, divorce), a seller may want to sell a home quickly. This type of sale often results in multiple buyers, with the home being sold quickly.
A REALTOR® can provide you with a thorough analysis of any home you're considering. This price will be based on market conditions, similar homes in the neighbourhood, and condition of the home. At the same time, they'll work with you to match your needs to the price, in a great neighbourhood.