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How much is my house worth on today’s market?

Whenever I am faced with a question like this, my answer is usually another question...which is, “To whom?"

In my experience your house has a different value to you than to the buyer or a lender or an appraiser and even to the local government, who needs to assess the value of the house for its tax collections. My job is to keep my finger on the pulse of the market and use my experience to make sense of the information that is available to me.

Here is an example that illustrates this issue.
Earlier this year I listed a property on the West side of Abbotsford. My suggested price did not go well with the sellers and they decided to list it much higher than I was advising. We did agree that if there was no offer on the property within 3 weeks, they would reduce and go with my suggested price. Due to a unique location we were able to attract many viewings and 10 days later we got an offer that was accepted by the sellers. It contained few subjects and one of them was, "Subject to the buyer being approved and obtaining a first mortgage." I was surprised by this offer since I knew that the buyers were paying more than the market value. 
My sellers just kept smiling and reminding me that my numbers were wrong. That smile on their face did last for 5 days until we received the news that the Bank will not release the funds on the property since the purchase price is not supported by the market value.
We were forced to re-list the property at the market value and sold it a few weeks later.
So here you have it! It doesn’t mater what you think your house is worth. You have to find a balance between what you want to get and what the buyers are willing to pay and don’t forget about lenders and appraisers.

Have a real conversation with your Realtor about the price and the real values.

Tibor

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