Wouldn’t it be great to be able to gaze into a glass ball and envision the future before making big financial decisions for ourselves and our families? Unfortunately, we can only make a best guess as to what the future will bring.
That’s why we have experts.
Meteorologists, economists and real estate brokers are some of the experts who are called upon to assist consumers in forecasting future events. They help us to answer questions such as, “Should I go to work without the umbrella?”, “Is this a good year to open my own business?” and “What is the highest price a buyer is willing to pay for my home?” Forecasting a future event, even if done by a well-trained professional, comes down to making an educated guess.
For example, a meteorologist predicts the weather by observing past and present atmospheric patterns, reviewing what resulted from the combined influences in the past and then making a weather forecast as to what will happen next.
Similarly, an economist creates an economic forecast by examining historical indicators such as unemployment figures, and gross domestic product, and then develops a forecast of the impact each variable will have on total consumption.
Top real estate brokers apply the same principles of forecasting to the housing market. To determine the optimum price for your home in Lane County, a real estate professional, like the meteorologist or economist, must observe past and present trends, as well as assess the key indicators and current influences within the Eugene-Springfield real estate market.
A Realtor who understands buyer demand is your best expert
Doing real estate smart requires recognizing the role of forecasting in pricing the home. Simply stated, your home’s value is defined by what a buyer is willing to pay for it today. What is not so simple is defining the key indicators, influences and trends that affect a buyer’s actions.
When a real estate agent is deciding how to list your home, they create a forecast by gathering information on who might be your home’s best potential buyer.
Good Realtors ask questions like:
- What is a buyer in today’s market seeking?
- Can the buyers of homes like yours get attractive financing today?
- How have those target buyers ‘moved’ in the recent past. That is, did they negotiate much off the list price at the time of an offer, or did they pay full asking price?
- Are there many homes that meet the needs of potential buyers in the current market, or does your home have unique benefits?
- Does the floorplan of your home meet today’s buyers’ lifestyle or is it compromised by functional obsolescence such as a formal living room that is collecting dust while the family room sees the most traffic?
- And finally, can the home be used differently by multiple buyer demographics?
The task of forecasting home sales, when well-done, goes far beyond a search for similar homes for sale in your area on Zillow or HomeFinder.com. Luckily, there are real estate agents with the expertise to research the market and to forecast the best way to list and market a home for sale.
The smart seller will optimize the opportunity to sell their home by seeking out a Realtor who understands how potential buyers view their property.
Selling smart in Eugene and Springfield
If we had a crystal ball, the only question we would need to ask to make a forecast would be, “What price should I list my home?” But, forecasting successful home sale prices is more complicated than asking for the going rate of homes like yours. This is why we turn to real estate experts. If you hire the right Realtor to help you to gather information about potential buyers and to forecast where the housing market is headed, you put yourself in the best position to sell your home successfully and to turn a profit.