5 Magnolia Ln, Lexington

Market Analysis for:

Valerie Mulhern

I've done a market analysis on your home at 5 Magnolia Ln in Lexington and have prepared this document to help explain how I've arrived at a price for your home. I perform a market analysis and calculate a price taking into consideration a home’s location, size, configuration, number of bedrooms and baths, lot size and general condition. I also scrutinize the home for issues that, in my experience, will impact the price of a home making it more or less valuable. Then, I look at your current competition - the other homes that buyers in your price range will be viewing, to help determine your price.

Contents

  1. Description of Home
  2. Market Dynamics
  3. Analysis of Relevant Properties
  4. Pricing Recommendation
  5. Marketing

Description of home

Please note that these comments do not relate to marketing, but are included purely to ensure that we have captured the information and reflect the major components of your home.

The home is a single family attached Colonial built in 2002 and located on a quiet cul de sac close to the Bedford line on a lot of 0.11 acres.  The home has 3 bedrooms and 2.5 bathrooms.  Public record has the living area at 1,772 square feet although when you bought the home it was advertised as 2023 sq ft. We will be able to verify the sq footage when the floor plan has been generated. For the purposes of this market analysis we will use 2023 sq ft.  

The covered front entry opens to a foyer area with a formal living room on the right and a dining room on the left.  The rooms could be used interchangeably, but a chandelier placed in the left room offers the feel of a formal dining room. Nicely maintained hardwood floors spill from the foyer into the formal dining room with crown molding and double windows at the front of the home. The formal dining room has a cased opening to the kitchen offering an easy flow for entertaining.  

The formal living room has nicely maintained hardwood floors, crown molding, and double windows offering lovely views of the front landscape.  A large cased opening transitions to the family room as the shining hardwood floors continue to span the home.  The family room flows to the kitchen through another large cased opening. The kitchen has a modern feel with granite counters, breakfast bar peninsula, hardwood floors, and recessed lighting.  The appliances are white with an electric stove.  A glass paneled door leads out to a brick patio in the private, tree-lined backyard.  A laundry room is conveniently located off the kitchen next to a door offering easy access to the two car attached garage.  A half bathroom is located off the hall.

The master suite, two more large family bedrooms, and a family bathroom are on the second floor.  The spacious landing offers a great space to place a desk beneath the sunny window.  The master bedroom is huge and full of natural light with hardwood floors and a very large walk in closet. The master bathroom is tastefully done in neutral tones with beautiful marble flooring, a dual sink vanity, a shower stall, and separate spa tub.  Hardwood floors span the family bedrooms with double closets.  The family bathroom has a modern white vanity, ceramic tile floor, and a tub/shower.  

The home’s lower level is unfinished, but offers abundant storage space.  The home is heated by oil fueled forced hot air and has central air conditioning.  There is a yearly HOA fee of $525, which helps to maintain the cul de sac’s island area.  

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Market Dynamics

We have been experiencing shortages of housing inventory in Lexington over the last 5 years or so. There are always a number of buyers looking to buy in Lexington because of the strong school system, the community dynamics and vibrant downtown. People like the feeling of the downtown area, and want to stop and have a coffee, or have dinner at the many restaurants, or just watch the world go by, chatting with folks who are out and about. The Minuteman bike path and conservation areas close by pull those who desire an outdoor lifestyle while still remaining within commuting distance to Boston.

The Lexington market has seen increasing prices over the last few years given the limited inventory. The demand for homes in Lexington far outweighs the supply and each month a snapshot of available homes for sale shows the declining inventory levels.

Average prices in Lexington are well above average prices obtained in the peak of the market in 2005. Average single family home prices have been increasing steadily since 2009. The real estate market downturn that existed for the last few years is well and truly over and prices are continuing to increase each year.

Sales distribution statistics for single family homes show that the $1M-$1.5M price-range is the most active in Lexington. The next busiest price range in Lexington is the $1.5M - $2M price range. This is an indicator that new construction is having a significant impact on the average single family home prices in Lexington. The number of new construction homes being built in Lexington in 2013 was 55 homes, 70 homes in 2014, 71 homes in 2015, and 66 homes in 2016.

Before reviewing the price per sq foot charts it is important to throw in a caveat of using the average as the definitive guide. There is wide variability among agents as to what is included in the living area reported in MLS. In some instances, agents will include a finished component of the basement in the living area and this is acceptable so long as how the living area is calculated is disclosed. Others report the living area reported in public record, which never includes finished areas in the basement, but note in MLS that there is a finished basement. To this end, it is important to review each individual listing to determine the ‘true’ price per sq. ft. of above ground living area, but we also need to factor into this when a home has a finished basement.

Reviewing the price per sq. foot charts for single family homes shows us that the average price per sq. ft. in Lexington around the $900K price range is around $405 per sq. ft. It’s important to note that the maximum price per sq. ft. achieved varies across most price ranges, along with the minimum obtained for each price range.

When the year built in the 2000’s the average price per sq. ft. is $378.

The chart below shows that single family homes in Lexington of similar size to your home in the 2,000 square foot range, have an average price per square foot of $407 but it increases to $489 per sq. ft. when you decrease to the 1,000 square foot range. It is common across municipalities to see an increase in the price per square foot for smaller sized homes, as it reflects the minimum cost of a home in a town irrespective of the property size.

The chart below shows how many months’ supply of inventory there is in a given price range. It uses the assumption that given the same rate of sales over the prior 12 months, and considering current inventory available for sale, how many months it should take to sell the available inventory. This is referred to “Absorption” in the real estate world. 

Any price range where there is more than 7 months’ supply, we consider there to be an oversupply of inventory, also known as a ‘buyer’s market’. Anything between 4 – 6 months is considered a balanced market. Anything less than 3 months’ supply is considered a shortage of inventory on the market at this price range, also known as a ‘sellers’ market’. As can be seen, currently, absorption rates for all homes in the $900K price range are under a month’s supply showing a severe shortage.

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Analysis of Relevant Properties

The following map shows the  homes that we believe to be of value in determining the price of your  home. Below the map you will find basic information  provided for each home including the price the home was  listed at, and the price the home sold at (if sold), the listing date, Days on market, Bedrooms, Bathrooms, living area size and lot size.  Noted for each home is a classification of Relevance which outlines whether we think the  property is valued Less (L), Relevant/Comparable (R) or Higher (H) than  your home. The notes for each home outlines the similarities and differences between  your home and the one being analyzed.

Your details: Living area 2023 sq ft | 3 beds | 2.5 baths | Lot size 0.11 acres | Built 2002 | 2 car garage

This colonial style single family home was built in 1930. It is smaller than your home with 1,900 sq ft of approx. living area. Your home has 2023 sq ft of approx living area according to the listing when you bought the home. This home has 1 more bedroom than your home, having 4 bedrooms whereas your home has 3 bedrooms. It also has more bathrooms than your home, having 3 full bathrooms. It sits on a similar size but still larger 0.15 acre lot while your home sits on a 0.11 acre lot.
Entry to this home is through an enclosed porch. The living room has a fireplace, and hardwood floors. It has access to everything on the main level. It has access to an office which has hardwood floors, double windows, and has exterior access to the deck through glass sliders. The family room has an open floor plan with the eat-in-kitchen and is also partially open to the living room through a cased opening. The family room has double windows, chair rails, and hardwood floors. The kitchen has granite countertops, stainless steel appliances, white cabinets to the ceiling, and a small informal dining area. The configuration is quite tight though and not optimal. The 2nd level includes the master suite, 2 family bedrooms, an office and the family bathroom. The listing states 4 bedrooms, but the office upstairs is very small so buyers will not have considered this a bedroom. The master bedroom has wall to wall carpeting over hardwood floors, has an attached bathroom, and access to its balcony. The family bedrooms have double windows, and hardwood floors. The finished lower level is a recreation room with vinyl flooring and has exterior access to the backyard. The home didnt have much curb appeal.
This home has a detached 2 car garage that needed some work, and paved 2 car off street parking. It has forced air and hot water radiators fueled by gas heating and central air cooling. It was listed for $899,900, went under agreement but that offer fell through probably due to an inspection and then it went under agreement for the second time and was finally sold for $905,000.

Relevance: Relevant, but less.  Given that it is a single family home walking distance to the town center, similar size, inferior condition, inferior garage configuration I believe that once all factors are considered it is relevant to your home but yours should sell for more.

Your details: Living area 2023 sq ft | 3 beds | 2.5 baths | Lot size 0.11 acres | Built 2002 | 2 car garage

This colonial, farmhouse style single family home was built in 2011. It is smaller than your home with 1,800 sq ft of approx. living area. Your home has 2023 sq ft of approx living area according to the listing when you bought the home. This home has 1 less bedroom than your home, having 2 bedrooms whereas your home has 3 bedrooms. It has the same number of bathrooms as your home, both having 2.5 bathrooms. It sits on a 0.11 acre lot as does your home.
Upon entry to the foyer from the covered porch, the living room is on the right and it has a fireplace with white mantel, picture windows, and hardwood floors. The family room, the dining room, and the kitchen has an open floor plan and have hardwood floors. The dining room has walls of windows, and has an exterior access through a french door leading to the patio. The kitchen has a breakfast bar peninsula, granite countertops, ceramic tile backsplash, stainless steel appliances, white cabinets to the ceiling, and upper cabinets with glass paned doors. The 2nd level includes the master suite, a family bedroom, and the family bathroom. The master bedroom has wall of windows, hardwood floors, walk in closets, and has an attached bathroom. The master bathroom has a double sink vanity with granite countertop and white cabinets, and a frameless shower stall. The other bedroom has hardwood floors, and double windows.
This home has an attached single car garage and 2 car off street parking. It has forced air, gas heating and central air cooling. It is currently on the market listed for $929,000 and has been on the market for 9 days so far.

Relevance:. Relevant, but less. Given the smaller size although almost new construction, 1 car garage, 1 less bedroom, inferior location being a busy street, single family configuration vs attached, I believe this home is relevant to your home but yours should sell for more. The challenge with this is that we do not know what it will sell for.

Your details: Living area 2023 sq ft | 3 beds | 2.5 baths | Lot size 0.11 acres | Built 2002 | 2 car garage

This is a single family home which is the last home before this road becomes Woburn. The home was completely renovated for sale. This multi-level style home was built in 1960. It is a similar size to your home with 2,100 sq ft of approx. living area. Your home has 2023 sq ft of approx living area according to the listing when you bought the home. This home has the same number of bedrooms as your home, both having 3 bedrooms. It also has the same number of bathrooms as your home, both having 2.5 bathrooms. It sits on a larger size 0.69 acre lot whereas your home sits on a 0.11 acre lot.
Upon entry to the home, the main level has an open floor plan which includes the living room, the dining area, and the kitchen. This open area has hardwood floors and crown molding. The living room area has bay windows, and has a fireplace which has brick facing, white mantel and painted woodwork to the ceiling. The dining area has wainscoting. The kitchen has a L-shaped breakfast bar island, granite countertops, ceramic tile backsplash, stainless steel and in-lay appliance, white cabinets to the ceiling, and has an exterior access to the deck.
The bedrooms are on the upper level and it includes the master bedroom, 2 family bedrooms (1 of them very small), and a stunning family bathroom. The master bedroom has a walk in closet, hardwood floors, and has an attached bathroom that is stunning. The family bedrooms have double windows, and hardwood floors.
The lower level has wall to wall carpeting which includes the family room, a small bedroom, a half bathroom, and the mudroom that leads to the garage. The family room has a fireplace, and custom built ins.
This home has an attached single car garage and paved 7 car off street parking. It also has a storage shed by the patio. It has hot water baseboard, gas heating and central air cooling. It was initially overprice at $998,000 but price was dropped to $950,000 and closed yesterday for $925,000 .

Relevance: Relevant. Given the superior style (single family vs attached), similar size, inferior location, superior condition I believe that once all factors are considered it is relevant to your home.

Your details: Living area 2023 sq ft | 3 beds | 2.5 baths | Lot size 0.11 acres | Built 2002 | 2 car garage

This was our listing. It is a duplex townhouse. This townhouse was built in 2013. It is larger than your home with 2,280 sq ft of approx. living area. Your home has 2023 sq ft of approx living area according to the listing when you bought the home. This home has the same number of bedrooms as your home, both having 3 bedrooms. It has more bathrooms than your home, having 3.5 bathrooms. It sits on a similar but still larger size 0.19 acre lot whereas your home sits on a 0.11 acre lot.
The main level has an open floor plan which includes the living room, the kitchen, and the formal dining room. It has hardwood floors, crown moldings, and large windows. The living room has a fireplace with white mantel, and has large double windows. The kitchen has a breakfast bar peninsula, granite countertops, ceramic tile backsplash, high end stainless steel appliances, and dark wood cabinets. The formal dining room has double windows, wainscoting, and has exterior access to the deck and back yard through glass sliders. The 2nd level includes a master suite which has a walk in closet, has hardwood floors, and has an attached bathroom. The master bathroom has double sink vanity with granite countertops. Another bedroom is on this level and it has hardwood floors and has an attached bathroom. This home has a 3rd level where the 3rd bedroom with an attached bathroom is located. It has a sloping ceiling, wall to wall carpeting, and has an attached bathroom. The family room is in the lower level and it has wall to wall carpeting, custom built ins, and has an exterior access to the single car garage.
This home has an attached single car garage and 2 car off street parking. It has forced air, gas heating and central air cooling. It was listed for $795,000 an we sold it for $950,000 after competition pushed it way higher than the asking price.

Relevance: Relevant.  Given the inferior location of this home, 4 vertical living areas, extra bathroom, recent construction but classic condominium style, single car garage I believe that once all factors are considered this home is relevant to your home.

Your details: Living area 2023 sq ft | 3 beds | 2.5 baths | Lot size 0.11 acres | Built 2002 | 2 car garage

This duplex townhouse was built in 2015. It is larger than your home with 2,110 sq ft of approx. living area. Your home has 2023 sq ft of approx living area according to the listing when you bought the home. This home has the same number of bedrooms as your home, both having 3 bedrooms. It has more bathrooms than your home, having 3.5 bathrooms.
Upon entry from the covered porch, the main level has an open floor plan and has wainscoting, crown molding, large windows, and hardwood floors in the entire area. The living room has a fireplace with white mantel, bay windows, and has an exterior access to the deck through glass sliders. The kitchen has a 2 tier breakfast bar peninsula, granite countertops, ceramic tile backsplash, stainless steel appliances, dark wood cabinets, and upper cabinets with glass paned doors. The family bedrooms, the master suite and a family bathroom are on the 2nd level. The master suite has a cathedral ceiling, walk in closet, hardwood floors, and has an attached bathroom. The bedrooms also have cathedral ceiling and hardwood floors. The family bathroom has a double sink vanity with granite countertops. The finished lower level is a bonus room with wall to wall carpeting and a half bathroom.
This home has an attached 2 car tandem garage and paved single car off street parking. It has forced air, gas heating and central air cooling. It was listed for $879,900 but was temporarily withdrawn and placed back on the market multiple times before it went under agreement and was sold for  $955,800.

Relevance: Relevant, but higher. Given the newer construction (2015), larger size, extra full bathroom, 4 vertical floors of living area, tandem garage I believe that once all factors are considered this home is relevant to yours but it may sell for a smidge higher than yours.

Your details: Living area 2023 sq ft | 3 beds | 2.5 baths | Lot size 0.11 acres | Built 2002 | 2 car garage

This split entry style single family home was built in 1976. It is larger than your home with 2,678 sq ft of approx. living area. Your home has 2023 sq ft of approx living area according to the listing when you bought the home. This home has 1 bedroom more than your home, having 4 bedrooms whereas your home has 3 bedrooms. It has the same number of bathrooms as your home, both having 2.5 bathrooms. It sits on a larger size 0.48 acre lot in a cul de sac whereas your home sits on a 0.11 acre lot.
The living room has a fireplace inset into bricks to the ceiling, picture windows, and has hardwood floors. The dining area and the kitchen has an open floor plan and is partially open to the living room. The dining area has hardwood floors, and has an exterior access to the deck  through glass sliders. The kitchen has granite countertops, cabinets to the ceiling,upper cabinets with glass paned doors, black appliances, recessed lighting, and ceramic tile floors. The sunroom is also on this level. The master bedroom, 3 family bedrooms, a family bathroom are all a few steps up on the next level. The master bedroom has an attached bathroom. All the bedrooms have hardwood floors. The finished lower level has laminate flooring and includes the family room, a bonus room, and a half bathroom. The family room has a fireplace on bricks to the ceiling, and has an exterior access leading to the backyard.
This home has an attached 2 car garage and 6 car off street parking. It has hot water baseboard, oil heating and central air cooling. It was listed for $999,000 and is currently under agreement.

Relevance: Higher.  Given its much larger size, much larger lot size, extra bedroom, cul de sac location, superior style being a single family home, 2005 renovation I believe this home should sell for more than your home.

Your details: Living area 2023 sq ft | 3 beds | 2.5 baths | Lot size 0.11 acres | Built 2002 | 2 car garage

This attached townhouse was built in 1980. It is larger than your home with 2,974 sq ft of approx. living area which includes the finished basement. Your home has 2023 sq ft of approx living area according to the listing when you bought the home. This home has the same number of bedrooms as your home, both having 3 bedrooms. It also has the same number of bathrooms as your home, both having 2.5 bathrooms.
The living room has a fireplace with white mantel, crown molding, hardwood floors, and has access to a half bathroom. The formal dining room has double windows, crown molding, and hardwood floors. The family room has a fireplace with white mantel, custom built ins, hardwood floors, has exterior access to the deck through glass sliders, and has an open floor plan with the kitchen. The kitchen has a breakfast bar peninsula, custom built cabinets, cabinet in-lay appliances that match the cabinetry, ceramic tile floors, and has an exterior access to the deck and to the detached garage. The 2nd level includes the master suite, 2 family bedroom, and the family bathroom. The master bedroom has crown molding, hardwood floors, walk in closet, and has an attached bathroom. Another bedroom also has a walk in closet and hardwood floors. The finished lower level is a recreation room and an office and these areas have wall to wall carpeting.
This home has an attached 2 car garage. It has forced air, oil heating and central air cooling. It was listed for $925,000 and was sold for $1,006,000.

Relevance: Higher. Given the much larger living area with the finished basement, superior location walking distance to the town center I believe that this home will sell for more than your home.

Your details: Living area 2023 sq ft | 3 beds | 2.5 baths | Lot size 0.11 acres | Built 2002 | 2 car garage

This is an attached single family home in your cul de sac built in 2003. It is larger than your home with 2,787 sq ft of approx. living area which is all above ground living area. Your home has 2023 sq ft of approx living area according to the listing when you bought the home. This home has the same number of bedrooms as your home, both having 3 bedrooms. It also has the same number of bathrooms as your home, both having 2.5 bathrooms. It sits on a larger size 0.27 acre lot whereas your home sits on a 0.11 acre lot.
Upon entry to this home from the farmer’s porch, the main level has an open floor plan with hardwood floors, large windows, and crown molding. The living room is accessible from the foyer through double french doors. It is connected to the formal dining room defined by a cased opening. The kitchen has a breakfast bar island, granite countertops, white cabinets to the ceiling, stainless steel appliances, and has an exterior access to the backyard through a glass paned door by the informal dining area. The master suite is also on the main level and it has tray ceiling, walk in closet, wall to wall carpeting, and has an attached bathroom. The master bathroom has a double sink vanity and granite countertop, and a shower stall with frameless glass door. There are 2 family bedrooms with wall to wall carpeting on the 2nd level along with a full bathroom with a double sink vanity with granite countertops, a shower stall with frameless glass door, and a jacuzzi. This level also includes a loft with hardwood floors and a bonus bedroom which has a sloping ceiling with wall to wall carpeting.
It has a 2 car attached garage and 4 car off street parking. It has forced air, oil heating and central air cooling. It was listed for $949,000 and was sold for $1,020,000.

Relevance: Higher. Given the larger size of the home, larger lot size, farmers porch, extra bedroom if you include the bonus room on the second floor I believe this home will sell for more than your home.

Your details: Living area 2023 sq ft | 3 beds | 2.5 baths | Lot size 0.11 acres | Built 2002 | 2 car garage

This attached colonial style home is on a very large lot walking distance to the town center and has 1 other homes on the lot. This home was built in 1857 and it is the front home of this large building. It is larger than your home with 2,168 sq ft of approx. living area. Your home has 2023 sq ft of approx living area according to the listing when you bought the home. This home has the same number of bedrooms as your home, both having 3 bedrooms. It also has the same number of bathrooms as your home, both having 2.5 bathrooms.
The home has a stunning wrap around farmers porch gracing the entry. Entry from the farmers porch is through a vestibule, leading to the foyer. The living room has a fireplace with brick facing and white mantel, crown molding, tall windows, hardwood floors, and has access to the sunroom. The sunroom has walls of windows, and hardwood floors. The formal dining room has bay windows, crown molding, wainscoting, and hardwood floors. The formal dining room is partially open to the kitchen through a cased opening. The kitchen has been recently renovated and has granite countertops, stainless steel appliances, white cabinets, ceramic tile floors, and has exterior access to the deck through a glass paned door. This level also includes a bedroom which has hardwood floors and tall windows. The master bedroom, another family bedroom, a library, and a family bathroom are on the 2nd level. The master bedroom has hardwood floors, and has an attached bathroom. The library has a bay window, custom built ins, and hardwood floors, and is located through double french doors with lead glass panels and transom and detail woodwork. The bathrooms had been recently renovated.
This home has a detached single car garage and 2 car off street parking. It has forced air, gas heating and central air cooling. It was listed for $1,089,000 and is currently under agreement.

Relevance: Higher. Given its larger size, superior location, stunning library, superior condition, farmers porch I believe that this home will sell for more than your home.

Your details: Living area 2023 sq ft | 3 beds | 2.5 baths | Lot size 0.11 acres | Built 2002 | 2 car garage

This is an attached single family home. This Italianate style home was relocated to its current location and completely rebuilt in 2018. It is larger than your home with 2,134 sq ft of approx. living area. Your home has 2023 sq ft of approx living area according to the listing when you bought the home. This home has the same number of bedrooms as your home, both having 3 bedrooms. It also has the same number of bathrooms as your home, both having 2.5 bathrooms.  It sits on a larger size 0.17 acre lot whereas your home sits on a 0.11 acre lot.
The builder of this home is one of the most respected builders in town and does a superior build. Upon entry to the foyer, the main level has an open floor plan and has hardwood floors, large windows, and crown molding. It includes the living room, the dining area, and the kitchen. The living room has a fireplace inset into bricks extending to the ceiling, custom built ins and cabinets. The dining area is partially open to the den through a cased opening with sliding doors. The den also has crown molding, and hardwood floors, and has an exterior access leading out to the backyard. The kitchen has a breakfast bar peninsula, granite countertops, ceramic tile backsplash, high end stainless steel and in-lay appliances, white cabinets, hardwood floors, and has exterior access leading out to the backyard. The master suite, the family bedrooms, and the family bathroom are on the 2nd level. The master bedroom has hardwood floors, walk in closet, and has an attached bathroom. The master bathroom has a freestanding tub, a shower stall with frameless glass doors, a vanity with granite countertop, and a separately enclosed toilet. Both family bedrooms have hardwood floors and one of these has has a walk in closet.
This home has a detached single car garage and 2 car off street parking. It has hydro air heating and central air cooling. It was initially overpriced for $1,295,000 then dropped to  $1,245,000, and again to $1,195,000 before it went under agreement after a total of 185 days on the market.

Relevance: Higher. Given the larger size, effectively brand new construction I believe this home will sell for more than your home.

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Pricing Recommendation

My analysis of the relevant homes outlined above suggests a final market value for your home of $940,000-$980,000.  

Given the current market dynamics in Lexington, I would suggest listing your home at the lower end of this price range to attract more interest and potentially multiple offers.  If the market deems your home to be worth more than the list price, then the price will be pushed over the market value of your home, and sometimes well over when we get multiple offers. You can see many examples above that came on the market for a lot less, and competition pushed them up to the price they sold for. The challenge in estimating a price for a home is ‘would this home have sold for this price if they had priced it higher?’ or was competition the driving factor that got to this price.  Experience tells me that competition is why they sold for what they did, so we have to be careful with pricing. You would be experienced at this with your experience buying your home when it was listed for $839,000 and you paid $975,000 for it. A  couple of good examples of competition pushing a price higher than market value is our listing at 292 Massachusetts Ave which came on the market for $795,000 and sold for $950,000, and the listing at 8 Magnolia Lane which came on the market for $949,000 and sold for $1,020,000. 

When homes are overpriced they end up sitting on the market and ultimately selling for less than market value, whereas homes priced realistically can often sell for well over market value. Competition is what will get us the highest sales price. As we see time and time again, if the buyers consider the market value of your home to be realistic in relation to the asking price, then competition will push the price up higher and often over the market value of the home. The challenge with overpricing is that the buyers are very educated – they go week after week to see homes in their price range so they KNOW what the prices are and what ‘feels’ right.

Interestingly, we have seem some odd buyer behavior in the last 2 weekends.  We have bought homes on the market, and have had a lot of buyer traffic through them with open houses, private showings, and online viewing of the home, but when it came to submitting offers the buyers have been reluctant to commit. For the homes we bought on the market we only had 2 offers on homes 2 weekends ago, and last weekend only 1 offer on homes. Whether this is because there were a larger number of homes coming on the market the 2 weekends after Memorial Day and the buyer reluctance to make an offer was because they are 'sitting on the fence' waiting for other homes to come on the market in the future is still in question, or whether we are seeing a change to the market.

I have to stress that these are recommendations.  We would bring your home on the market at whatever price you deem to be appropriate.  

I DO NOT DETERMINE THE PRICE - the market dictates the value - what a buyer is willing to pay. My job is to make sure that you have the best market exposure and that your home is positioned well in the market.   I do not believe in projecting more money than I think your home will sell for just to get your business.

My team and I know how to stage and market your home, and I understand its value, but I can only sell it for what the market or a buyer will pay. I strongly believe that a home should be priced compared to the current competition, not just on what has sold in the last six months.  At the end of the day, you will be competing for the buyers looking for a home like yours and in the same price range. You can do far more 'damage' to the resultant price we get for your home if we overprice. The prospective serious buyers will see your home within the first weekend of your home coming on the market, and they will have seen everything else in this price range.  In other words, the serious buyer knows what is priced well.  If they don't see value in your home at its listing price and are not motivated to make an offer, then they will move on and keep looking.  In times of increasing prices, it is often hard to predict what a home will sell for, but be assured that even if we price your home lower than what market value is currently, market dynamics will bring the price of the home up to where it should be.  Prospective buyers should walk in thinking the price 'feels right' and are motivated to make an offer in the short term, rather than letting several months’ pass.

It is important to stress the value of marketing your home to capture the highest price.  In times of low inventory, we know your home will sell by doing the bare minimum to market it, BUT that is not going to get you the maximum price for your home.  Key to getting the maximum price for your home is to prepare a comprehensive marketing plan that incorporates all avenues available to us to expose your home to the maximum number of buyers out there looking.  Exposure, and feet in the door, is what will get you the highest price for your home. Basic ratios help explain this.  If 10% of the buyers who walk in your door fall in love with your home, then if you only have 10 buyers walking in, then potentially there is only 1 buyer - if you have 100 buyers walking in your door then using the same ratios, you will potentially have 10 buyers falling in love with your home.  10 buyers will push the price up versus only one buyer.

New statistics state that over 100% of potential buyers search the web as their primary search vehicle.  Thankfully, your home will show fabulously in photos. With historically low interest rates likely to increase and inventory at a 7-year low, there are still homes that do not sell in this market.  I’m making my recommendations to ensure that you are one of the sellers who will have success in the first month of being on the market, but optimally the first weekend.

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We look forward to working with you!   Please reach out if you have any questions at all about this market analysis or our plans to market your home! 

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