Austin Real Estate Guru

IN our last episode WE TALKED ABOUT PRICE PER SQFT.  I consider this a rudimentary approach to snagging the best price for your most valuable investment.

Here’s a better way…

I call it the WHAT YOU CAN GET THEORY and combine it with the price per square foot approach

The top 4 elements of value that a buyer will use to determine value are

PRICE  - can I afford it

LOCATION - is it close to work, schools, shopping

CONDITION - Does it deliver what I need on a timely basis? is it ready, or must I move across the country to begin repairing before I can enjoy living in the home

AVAILABILITY OF SIMILAR PROPERTIES (supply & demand) - how many do I have to choose from? Is it rare or do we see homes like it all of the time?

AESTHETICS - STYLE & TYPE

Further, there are very important brownie points that make a home more or less distinctive when it comes to pricing

• Home Size larger square foot homes sell for lower price per square foot
• Smaller square foot homes sell for higher price per sqft
• Generally speaking one story homes sell faster than two 
• Lot style - double lots, larger lots;  culdesac lots, lots next to greenspace  can demand a higher value
• Homes that have been remodeled are more desirable (Bc they are ready to move into)
• Homes with interior upgrades such as custom window coverings and paint colors, plank flooring, demand a higher price
• Homes with exterior features like additional landscaping, pavers and walk ways pergola’s and patios say BUY ME

In summary:

Use Average Price per square foot as a guide

Presentation is KEY - Condition is a strong determinant of value (homes in best condition often sell first) Buyers go crazy over homes that look more expensive than their price tag) 

Consider the number of similar properties available and factor in location  Use a wider radius of what is available - not just your neighborhood

Utilize a realtor to justify additional points relating to your home’s uniqueness

Make sure it makes a statement begin with CLEAN and UNCLUTTERED

Get fancy after you check those two boxes.

Listen to our quick bonus episode REAL ESTATE STORY on pricing and learn what really happens in the market

In our next Podcast we’ll examine Top 10 characteristics Characteristics of Todays Homebuyers 

To bring you up to date on the trends in the market See you soon!

I'm Lisa Marie Contaldi, and my family has proudly called Austin home since the late 80s. Over the course of my career. I've had the privilege of celebrating 100s of success stories, helping buyers and sellers create memorable housing experiences while reaching their financial goals. 
We've all witnessed the incredible transformation of a rapidly evolving housing market in Austin. With change comes opportunity. So, is it time for your next move? 
Follow me on YouTube at Lis

WE ARE knowledge brokers offering an authentic ongoing conversation that will develop your natural intelligence in real estate and other endeavors. 
http://lisacontaldi.com

Let me tell you a story about pricing a unique home in Austin

In November 2020 I listed a rare property in a neighborhood (off of Bee Caves Road & Cuernavaca Drive near Austin Lake Estates.  This small affordable section Called Lake Ridge Estates is located blocks from Lake Austin where hippies and lake enthusiasts hung out in their mobile homes in the 60’s.  The important point is that  the city of Austin has grown and families moved in to be within 15-20 minutes of Downtown, located in the renowned Eanes School District. The neighborhood has matured but as folks have torn down and rebuilt homes the amount of turnover and recent comparable sales in that section peaked @ a price of $850k.  The home I marketed sits on about an acre land, with a custom pool and had been remodeled from the studs and a casita was added in 2019. How was I going to capture a fair price the home? Here’s What happened.  

I priced the main house with price per square foot adjusted it upwards due to for low number of days on the market

I priced the casita separately.  

I priced recent lots that sold and added that to the value 

I added the price of a pool (50% of value)

I adjusted for market conditions (nothing on the market) Nothing recently available in ANY part of town.

The seller COMPLETELY prepared for resale

PRICE - $1.25M several hundred thousand above the comps

LOCATION

Austin’s most desirable school district

One of a kind OVERSIZED lot 

The setting was gated and private

CONDITION

The main house was Vacant, freshly painted and ready for move in.

It included features that are important to many buyer types including smart home technology, custom inground pool, a variety of decks and idillic vantage points

AVAILABILITY OF SIMILAR PROPERTIES

The home had a casita built just over a year ago

The property was gated with a detached garage.

Few properties like it existed in the area but none had sold in the past year so it was viewed as an anomaly

What’s the moral of the story?

Pricing by dollar per square foot only just might leave money on the table that you deserve

I'm Lisa Marie Contaldi, and my family has proudly called Austin home since the late 80s. Over the course of my career. I've had the privilege of celebrating 100s of success stories, helping buyers and sellers create memorable housing experiences while reaching their financial goals. 
We've all witnessed the incredible transformation of a rapidly evolving housing market in Austin. With change comes opportunity. So, is it time for your next move? 
Follow me on YouTube at Lis

WE ARE knowledge brokers offering an authentic ongoing conversation that will develop your natural intelligence in real estate and other endeavors. 
http://lisacontaldi.com

Earlier, WE EXPLORED A COMMON QUESTION: Is 2021 the right time to sell?  A constrained housing supply, historically low rates @ 3% or less; and housing prices boasting new highs in and around the Austin area ~ we can assume THERE’S NEVER BEEN A BETTER TIME to sell.  We also explored briefly, your reasons for moving and assume you have worked out an organized a plan of action within your budget to properly prepare for resale.  This leads us to the next logical question which we’ll  address in today’s episode

1. HOW MUCH CAN I GET FOR MY HOUSE IN TODAYS MARKET?
2. I would like to begin this discussion with the classic textbook definition of REAL ESTATE Sales price -  it Is ONE THAT I VALUE GREATLY and it WILL SERVE YOU WELL.  Sales price is “the price a buyer will pay and a seller will sell”.   I’ll elaborate more on that.  

Let’s talk about the most widely used approach to pricing homes used 

BY THE COUNTY TAX ASSESSOR AND FIRMS LIKE  ZILLOW or REDFIN & OPEN DOOR and other companies shooting you offers online and by mail.

The estimate of a home’s worth is ROUTINELY calculated using MARKET DATA from recent sales of similar homes in size. This is called a A COMPARABLE SALES ANALYSIS which uses homes THAT SOLD within the past 3-6 months in your GEOGRAPHIC AREA.

For example - 

 If 3 or 4 homes sold for an average price of $500,000 At average size of 2500 sqft 
The average price per square foot sold would be $200/sqft.  {$500k/2500sqft}

Then they multiply $200/per foot by the number of square feet in your home to come up with a price that your home would likely sell for.  

THIS IS A SIMPLISTIC APPROACH.  IT WORKS TO GET YOU THERE BUT it does not represent the value of your home

WHY? This does not consider what the end user - or the homebuyer thinks

Let’s return to the classic Text book definition again.  Sales price is “the price a buyer will pay and a seller will sell”.   We all know the seller wants the sun moon and stars.  When pricing a home you should consider What does the homebuyer want?  

Have you ever made an emotional purchase? The secret to pricing a home correctly comes from looking at VALUE from a future home buyer’s perspective

In part two we will get into your future buyer’s head and consider what they will do with regard to your home - then use those factors to price it accordingly.  

I'm Lisa Marie Contaldi, and my family has proudly called Austin home since the late 80s. Over the course of my career. I've had the privilege of celebrating 100s of success stories, helping buyers and sellers create memorable housing experiences while reaching their financial goals. 
We've all witnessed the incredible transformation of a rapidly evolving housing market in Austin. With change comes opportunity. So, is it time for your next move? 
Follow me on YouTube at Lis

WE ARE knowledge brokers offering an authentic ongoing conversation that will develop your natural intelligence in real estate and other endeavors. 
http://lisacontaldi.com

To sell or not to sell? Reviewing your true reasons for moving.

I'm Lisa Marie Contaldi, and my family has proudly called Austin home since the late 80s. Over the course of my career. I've had the privilege of celebrating 100s of success stories, helping buyers and sellers create memorable housing experiences while reaching their financial goals. 
We've all witnessed the incredible transformation of a rapidly evolving housing market in Austin. With change comes opportunity. So, is it time for your next move? 
Follow me on YouTube at Lis

WE ARE knowledge brokers offering an authentic ongoing conversation that will develop your natural intelligence in real estate and other endeavors. 
http://lisacontaldi.com

Explaining the fundamentals of housing data keep you up to date on market trends so you can become financially self reliant by making sound investment decisions with your greatest asset - and the American Dream - A Home~

I'm Lisa Marie Contaldi, and my family has proudly called Austin home since the late 80s. Over the course of my career. I've had the privilege of celebrating 100s of success stories, helping buyers and sellers create memorable housing experiences while reaching their financial goals. 
We've all witnessed the incredible transformation of a rapidly evolving housing market in Austin. With change comes opportunity. So, is it time for your next move? 
Follow me on YouTube at Lis

WE ARE knowledge brokers offering an authentic ongoing conversation that will develop your natural intelligence in real estate and other endeavors. 
http://lisacontaldi.com