Mr. Home Seller, let’s have a heart to heart. It’s interesting because just two days ago, I wrote a blog entitled, Home Over Pricing Will Cost You Greatly! As I was out today canvassing a neighborhood regarding a new listing, a gentleman stopped me. He asked me if I had placed the postcard he was holding on his door. I told him yes. He then asked me what homes around the area were selling for. At this point I told him it depends on the home and offered to do a full market analysis on is home for free. He stated that he did not want it. He then said but what are they worth? I asked him the square footage approximately of his home and then after explaining that a value is based on many variables, I gave him the ball park range.
At this point, much to my surprise, he yelled at me, “Get Out of Here!” You don’t know my neighborhood! You come mad manover here trying to tell me that price, you just get out of here! Now, I was totally astonished.
While I understand that we are all a little dismayed by current property values (or lack thereof), my response to him was, “I do not make the market, I just have to tell you what it is.” Here lies the problem with the housing market (well, okay one of the problems). The pervasive denial on what a home is really valued at. For goodness sake, I do realize that when a personal home is purchased it harbors with it a multitude of emotions. Memories are also created and home owners are reluctant to let go. That’s fine, that’s the emotional side of homeownership. Trust me, I am a sap for it too.
Now bear with me as we delve into the practical business side. You know, the side that’s all about dollars, cents, and assets. This is the critical point where we place those pretty little emotions in a box, put a lid on it and look at hardcore numbers. Trust me, when I tell a homeowner that they are sitting on a depreciating asset, I don’t get a kick out of it. My role is to educate a homeowner on the true value of their asset. I realize that this does not always make people happy. My role is not to make you happy, it is to tell you the truth and truthfully advise you on your options based on your stated goals.
So the next time the emotional value of your home does not coincide with the true market value of your home, don’t shoot the messenger. Be glad that they were honest enough to educate you on the true market value so that you can make the decisions that would be in your best interest. Whether the best decision if for you to attempt a loan modification, short sale or even have to let it lapse into foreclosure, you can not take control of your own destiny if you refuse to look truth square in the eye. Don’t Shoot The Messenger, Just Accept Reality And Make Some Wise Decisons.
Disclaimer-All information contained herein is deemed reliable but not guaranteed. You are advised to consult a reputable attorney for all legal advice or a reputable tax advisor.