Dennis Kellner   Realtor®

Follow this link to visit the site for a great array of resources for buyers and sellers of real estate in Green Bay and Northeast Wisconsin!

Common Questions - Straight Talk,  Honest Answers

How much is my property worth?
How much will it cost me to sell?
Can't I sell it myself?
I had an appraisal of my home when I refinanced.  Is this a good indicator of what I can sell it for?

How much is my property worth? [back to top]

The value of your home depends on many factors, including of course, the location and features.  Some factors are within your control, such as curb appeal or improvements, while others may not be - such as neighboring homes and properties.  They will all need to be considered and compared to recent sales of similar property to determine the "market value." 

The laws of supply and demand dictate the current market - property that is high in demand and low in supply will command a higher price.  The best way to determine the value of your property and get the information you need to set your price is to have a market analysis done.  Realtors have access to market data (recent sales) and inside knowledge as to the current sales conditions.  I will do a free, no-obligation market analysis of your home or property.  You're also welcome to a free home enhancement guide which will help you prepare for the sale!    Just drop me an email or follow the link above.

There are several other methods I typically consider when determining market value - such as tax assessed value and area rate, and income potential - depending on the type of property. 

How much will it cost me to sell? [back to top]

Fees, taxes and other costs of sale can and do vary.  There are several costs involved in a sale, some being based upon the sales price and others being fixed fees.  They can depend on the location of the property as well, since advertising costs vary by area.  Generally, most people asking this question are interested in determining the brokerage fees which are used for advertising, marketing, the work involved in showings, open houses, coordination of the offer and sale, and the creation of the legal documents used. 

Many people become fixated on the brokerage fees and lose track of all of the other aspects and costs - what you need to get to is the "bottom line."  If you can walk away from the sale with the cash you expect, that's the most important point.  Don't settle for a "cut-rate" agent or company - a percentage point of the sales price won't matter much if the property isn't being seen by any prospective buyers. 

I will do a printed estimate for you so you can see what you'd likely come away from the sale with.

Can't I sell it myself? [back to top]
Sure, some choose to sell property on their own.  (FSBO or For Sale By Owner)  There are some considerations you should take into account though:

• You risk spending money and time without a sale.
  Realtors take on somewhat of a risk when we list your property because we immediately incur costs - advertising, marketing - and we're spending hours of our time up front - that we hope to be reimbursed for with commission from a sale later.  If the home doesn't sell for some reason, we are out the money, not our sellers.  When you sell on your own, you are responsible for advertising, open houses, marketing, the contracts and legal fees, etc.  - you're trading a sales commission a buyer would likely pay as a part of the sale price for your own time, money and work.  Sometimes you can come away with a few extra dollars, making it worth your while.  Sometimes not. 
   
• It can, and frequently does, take longer to sell, costing you more. 
  Usually those selling on their own can expect a longer time to pass before a sale due to several factors, but mainly because you and only you are marketing your home.  When a property is listed with a professional, there are hundreds of other agents trying to help sell the home as well - we agree between each other to share any commission we receive in exchange for help finding a buyer for your home.  Consider the costs of HOLDING your property for that extra time - you'll pay more insurance, utilities, advertising, taxes and other costs the longer it is on the market.  You may want to check the math before going on your own.
  
  Another reason for a longer market time is that most buyers prefer to work with a professional agent and are not comfortable working directly with an owner.  Agents also have little or no incentive to bring buyers to a property for sale by owner - there are many similar properties that are listed by professionals can be readily shown without drafting the special agreement required to show yours.  It's tougher to do a one-time-deal with you and they could probably find a similar property that is listed and easier to sell. 
   
• There's a built-in conflict of interest.
  Statistically, buyers shopping for homes and property for sale by owner are "bargain hunters."  Their intent is to do all the work themselves instead of working with a professional to save commission dollars.  That's the same reason the seller is not working with a professional.  So both sides are doing so with the intent to save money.  It's going to amount to a selling price usually significantly below the seller's expectations, and neither side will be sure they are following the correct procedures and laws to protect themselves.  They may both end up paying more in the long run.
  
  So you're going to try selling on your own?   No problem.  I am always happy to help answer questions for those selling on their own.  Or, if you'd like to join forces, I also have no problem doing other types of contracts to assist you.   Usually property is listed as "Exclusive Right To Sell" which means that no matter who finds the buyer a commission is owed.  I will do an "Exclusive Agency" listing if you still want to try to sell on your own - meaning that if you find a buyer you don't owe me anything.  If I find a buyer myself or through the Realtor network, you'd pay the commission and I'd professionally close the sale.  If you decide to do a full-service listing,  I'll get the job done and you won't have to think much about the process - I'll take the risks, procedures, contracts and other hurdles out of your way.  You can focus on your busy life and trust the pro to get it done. 
  
  If you have additional questions on these topics feel free to contact me!

I had an appraisal of my home when I refinanced.  Is this a good indicator of what I can sell it for? [back to top]
Generally, you need to consider the reason for the appraisal.  Although it would seem that lender or insurance appraisals should be very similar to a market value,  they may not be.  In a refinance or second-mortgage situation, the goal of those involved is usually to determine the highest possible value of the property so they can lend based upon that higher value.  As mentioned in other sections of my site, the laws of supply and demand dictate a sale price.  For example, a home may appraise at $200,000 but if the current market for similar property is between $145,000 and $150,000,  all the $200,000 price will do is cause a longer time to sale and/or prevent potential buyers from taking a closer look. (or sometimes seeing it at all)

Be careful when trying to use the tax-appraised value to determine market price - it's a tax assessor doing the appraisal, based on limited "real-market" knowledge or facts and adjusted to a percentage of value.  They do their best to do a good, honest appraisal, but they aren't in the business of "marketing real estate."  They may get pretty close, but they may not take some very important things into consideration because their purpose is to determine what the taxes should be, not to sell your home for it's current market value.   

One of the best indicators available is a Realtor's market analysis and price estimate.