Scheduled for August 10 thru 11.
- CRS: Certified Residential Specialist
- GRI: Graduate REALTOR® Institute
- 25 Years of Experience
Downriver Real Estate
Scheduled for August 10 thru 11.
Our real estate industry is struggling with many issues, list pricing and appraised value evaluation being my topic today. Never in my 25 years of selling residential real estate have I seen the number of low appraisals that have become the norm for our business. Home owners in Allen Park are seeing the value of their homes diminish more and more each day. One issue that I am currently beginning to research is how seller concessions are treated on an appraisal. Currently, most appraisers are deducting value when a seller concedes to seller concessions toward the purchasers cost to close. In my opinion, this concession does not affect value. It is simply a cost of the sale much like a real estate commission. If this adjustment was not made values increase up to 6%. I’ll let you know what I find out.
Every time I list a property for sale I go over my marketing plan with the seller. The internet is forever evolving with new opportunities to reach out to new people and new clients both buyer and seller. I recently join Facebook and started adding friends. This gives me the opportunity to market my properties to a never ending list of people much like a newspaper. Go to my site at http://www.facebook.com/people/Thomas-Crowe/1032273955 and click on my profile to see how this new and expanding medium works.
Allen Park continues to position itself well as compared to other downriver communities. Currently Allen Park has 147 houses for sale. 121 of these homes are privately owned homes with an average list price of $108,343. This is, relatively speaking, is a good ratio of private owned vs. foreclosure and it shows that the foreclosure is not the predominant sale. Trenton for example is in similar situation with 79 of 89 homes currently listed for sale being privately owned. This ratio is very important because one of the biggest problems I as a Realtor and you as a home owner have in todays market (once we find a buyer) is the appraisal. Right now, appraisers, if nothing else is available to use to justify value, are using foreclosed properties without actually viewing the inside of the property to determine the condition. Hence, not making adjustments for condition. This issue is being reviewed and questioned by the Michigan Association of Realtors and when I hear a decision I will pass it on to you.
Everybody is hearing how the foreclosure market is affecting home prices. Below is a breakdown of Allen Park homes that sold in the month of June.
Allen Park homes (all Allen Park homes sold): 21 Homes/Ave Sales Price $66,952.
Allen Park homes (Privately Owned): 10 Homes/Ave Sales Price: $82,100.
MelNap School District: All Allen Park homes sold: 5 Homes/Ave Sales Price $50,800.
MelNap School District: Privately Owned: 3 Homes/Ave Sales Price $58,000.
Allen Park School District: All Allen Park homes sold: 16 Homes/Ave Sales Price $72,000.
Allen Park School District: Privately Owned: 7 Homes/Ave Sales Price $92,429.
No sales in the Southgate School District located in the City of Allen Park.